Problems with electricity supply, a lack of workers and a payment crisis are the problems faced by the grain industry in Ukraine. Already in the next few months, the cost of product #1 may increase by 30%.
The problems in the Ukrainian energy sector also affected the grain industry, where the situation with the supply of electricity is critical today. This will eventually affect the final price for the consumer, as the cost of bread may increase by a third. This was announced by the president of the All-Ukrainian Association of Bakers, director of Kyiv Bread LLC Yuriy Duchenko.
He reminds that most enterprises of the grain industry today belong to the list of critical infrastructure objects, and therefore, electricity should not be cut off. However, in reality the picture is completely opposite. Because of this, those enterprises that have the opportunity switch to electric generators, which affects the stability of work and the subsequent price of the finished product.
"The bread industry does not consume a lot of electricity, but emergency shutdowns, shutdowns outside the schedule, lead to the production of defective products, equipment failure. Not all plants can run on generators. And those who have should be warned to switch production to emergency operation for 2-3 hours, no more. The situation has already led to a capacity shortage, because there are factories that cannot restore equipment due to blackouts," the expert emphasized.
He noted that power outage schedules for bread factories are also not suitable, as they affect the technological cycle. So, if there is no light for 2 hours, the bread baking schedule is shifted by 8 hours.
As for pricing, electricity is 50 kopecks in the cost of bread of a simple recipe, and 1.5 hryvnias for the production of the same bread on a generator.
The second problem faced by the industry is the reservation of workers. Due to the lack of people, some factories are forced to change the work schedule, as well as adjust the volume and range of production in the direction of reduction. In addition, employees who are difficult to replace are now critically important.
But the list of challenges faced by bakers is not limited to this. There is an acute problem with the lack of grain of the second and third class.
"I don't understand how we will work until the new harvest. We urgently need to talk to all participants in the process, sign a memorandum with farmers and exporters under the auspices of the relevant ministry, because today flour mills cannot find grains to form milling batches. The price of flour itself also rose by 25-30%," says Duchenko.
The icing on the cake is the payment crisis for bakery products that have already been delivered to trade and the Armed Forces.
"The lack of working capital does not allow enterprises to pay for raw materials, energy carriers, and salaries in a timely manner. And you still need to buy generators and fuel. I'm already silent about the development and modernization of the industry, for which there are no funds at all," emphasizes the expert.
Thus, Duchenko summarizes, there are already all the prerequisites for the fact that the price of bread will first increase by 10%, and in the next few months its price will increase by another 20%.
