Armenian people protest rise prices for cheese

Cheese makers explain the unexpected rise in prices for cheese by increasing prices for milk.

The food basket in Armenia comprised AMD 28064,4 in the third quarter of 2010, against AMD 26485,4 in the second quarter. According to the National Statistical Service, the basket of goods totaled AMD 43499.8 per month or AMD 492629,1 per year. The annual expenses per person: bread (AMD 35,2 thousand), meat (AMD 78,4 thousand), milk (AMD 23,8 thousand), cheese (AMD 11,8 thousand), potato (AMD 22,7 thousand), vegetables (AMD 28,9 thousand), fruit (AMD 39,4 thousand), sugar (AMD 6 thousand), eggs (AMD 7,3 thousand), oil (AMD 4,8 thousand).

November 6, 2010

PanARMENIAN.Net - The prices for one of the most important products for the Armenian population, cheese, reached AMD 2100-2200 in October, against previous 1400-1500.

Ashtarak Kat CJSC explained the inflation by the rise in prices for milk, but refused to provide any detail. Meanwhile Dustr Marianna OJCS reported no rise in prices for their milk products.

The State Commission for the Protection of Economic Competition (SCPEC) invited cheese producers, reacting to publications in media concerning sharp increase in prices for cheese. Cheese makers said that the increase in prices for cheese is reasoned by growth in prices for purchased milk, but not by matters of competition. Nevertheless, as the matter has become a heatedly debated topic, the SCPEC decided to implement a monitoring to reveal reasons behind the phenomenon. At the same time, the SCPEC urges all media outlets, experts and NGOs, which comment on this matter and competition problems, to assist the SCPEC studies through providing certain facts and circumstances. The SCPEC said that the study results will be made public.

Former Armenian Prime Minister Hrant Bagratyan said that in some villages the price for milk increased by AMD 20. “7 liters of milk is needed to make 1 kg of film. It means that the price for cheese could go up AMD 120. But it went up AMD 1000,” he said.

Head of the Association of Consumers of Armenia Armen Poghosyan described the rise in prices for cheese and foodstuff in general as ungrounded. “This sharp increase in prices is by no means the result of global tendencies, as no rise in prices for milk was observed at world markets recently. The fact is that the Armenian companies set high prices to get more profit. Moreover, the owners of these companies are members of the legislative,” Poghosyan said, adding that to change the situation, joint efforts of state agencies, public organizations and consumers are needed.

Hripsime Hayrapetyan / PanARMENIAN News