Food: ‘Hidden’ in sugar – cereals, ceilings and deficiencies

Of George Lampiris

One supermarket chain after another sets a ceiling on essential goods that may be unavailable in the near future.

The move to set a ceiling is made in some cases precautionarily, in order not to upset the balance in the supply chain, however, there are already isolated cases of shortages of specific goods, such as sunflower oil in some stores.

At the same time, with a relevant amendment of the Ministry of Development, the obligation of commercial enterprises to declare with a specific time limit on the platform of the Ministry of Development and Investment all quantities of food such as wheat or semolina, vegetable oils, wheat flour or semolina flour, other flour products.

The aim is for the government, the Ministry of Development and the General Secretariat for Trade and Consumer Affairs to be aware of the country’s precise stocks of these goods and to prevent, as far as possible, artificial shortages in the market in order to make more profit.

Sklavenitis

Sklavenitis has imposed a ceiling on purchases of products through the e-Market in sunflower oil in four pieces. There is a restriction on one kilo of flour, also on the four pieces, as well as on sugar, while for the time being there is no ceiling on the brown sugar market. As far as the chain’s stores are concerned, no ceiling has been imposed on goods at the moment.

AB Vassilopoulos

Regarding AB Vassilopoulos in the stores at the moment there is the following restriction: up to 3 packages of flour of any kind (for all uses, whole, etc.), up to 3 packages of corn oil and sunflower oil of 1 and 2 liters, up to 2 packages of corn oil and sunflower oil of 5 liters.

Regarding the e-shop of the chain, there is a ceiling of up to 3 flours of one kilo, while at the same time until yesterday there were shortages of flour for all uses of all industries.

There is also a restriction on the purchase of sunflower oil in up to 3 pieces of 1 or 2 liters with similar restrictions and on corn oil from the online store of the chain. The white crystal sugar in 1 kg, private label of AB Vassilopoulos, appeared out of stock.

Metro – My market

At the same time, the Metro group that manages the Metro Cash & Carry stores and the My market stores has set a ceiling at Cash & Carry points in products such as sunflower oil and sugar.

In addition, in My market stores in the retail sector of the group, there is a ceiling on purchases of sunflower oil, but not in other edible oils as is the case in other chains.

Masoutis

Masoutis has already imposed a ceiling on its customers, on store orders, on e-shop orders on the following products: sunflower oils, seed oils, flour, feta, coffee, imported products.

Cretan

The Cretan chain has set a limit on the amount of purchases up to five pieces in sunflower oil and flour from its stores as well as sugar per receipt.

Professionals turn to retailers to buy sunflower oil

In fact, it is characteristic that due to the shortcomings in the market, there are many cases of professionals from the catering sector or other professions, who choose to buy from supermarkets, products that under normal circumstances would be supplied by the wholesaler in order to be able to meet their needs.

Price rally and shortages in seed oils – Off-market Russia and Ukraine

However, shortages have already begun to appear in the supply of sunflower oil, as there are supermarkets that supply the specific product with the dropper, about once a week, while there are already empty shelves in individual cases at the moment.

The situation with seed oils is explosive

In terms of seed oils, market sources say that Ukraine is one of the largest players in the production of seed oils in the world.

The same person states that at the moment there is no supply of raw material in seed oils, since both Ukraine and Russia – major suppliers of these species – have gone out of business due to the war.

For example, if there was a product offer in corn oil, its price would be at the level of 2,500 euros per ton, while in sunflower oil the price requested by wholesalers from their customers is 3,000 euros per ton, when ten days ago the corresponding price was at the level of 1,450 euros.

“Hard” game with sugar and scandal

Another field of developments is already that of sugar, as according to market executives, wholesalers operating in the Greek market maintain stocks in their warehouses, seeking to sell at the highest possible price.

In fact, these are wholesale companies, which have bought quantities at significantly lower prices since the beginning of the year. It is characteristic that in the last two days sugar has risen in price by 0.25 euros per kilo.

The wholesale price recorded jumps in a few hours, as on Wednesday morning the price per kilo was 0.86 euros and at noon of the same day it had reached 0.93 euros.

It is noted that sugar imports are made from countries such as Bulgaria and Serbia, while there are currently traders seeking to take advantage of the current situation. This image with the “hidden” quantities is also related to possible shortages or ceilings in the quantity of purchases from the supermarkets.

A similar picture is presented by sugar in starch, where there are traders who also sell significantly higher stocks that they have pre-purchased at older prices.

There is a revaluation of 150 euros per tonne in brown sugar

As far as brown sugar is concerned, it is expected to record an increase of 150 euros per ton from next Monday, while some importers have already made purchases during the current week in order to prevent the upcoming appreciation. Brown sugar comes from countries such as Guadeloupe, Saint Mauritius, Malawi.

“Flour companies bought soft wheat at one of the lowest prices – Price increases so far are not justified”

Regarding wheat, Apostolos Sinakos, vice-president of the Royal Cooperative in Thessaloniki, which is active in the production of durum wheat, states that “the flours sold in the market came from soft wheat, which had one of the lowest prices in last September at the levels of 0.13-0.17 euros / kg.

The flours sold today have been produced with common wheat at these prices that I mentioned to you, which does not justify the increases that are being observed now.

Of course, the quantities of soft that are now bought by the flour industry have now reached 0.40 euros per kilo. Therefore, the flour will be more expensive in the next period “.

Greece is deficient in the cultivation and availability of soft wheat, from which bread is produced, while about 80% of the quantities come from Canada, the Balkan countries, Russia or Ukraine.

As far as durum wheat is concerned, Greece maintains adequacy, while at the same time exporting quantities, according to what Mr. Sinakos mentions.

Obstacle to sowing soft grain the war in Ukraine

The war in Ukraine is expected to raise a serious issue in the supply of common wheat in the near future. The reason is that at this time under normal circumstances his sowing would begin in that country, where due to the war his cultivation would be suspended. There will therefore be a significant production deficit, as Ukraine produces about 30% of world common wheat production.

Purchase of cold cuts: Constant rise in meat prices due to animal feed

The increase in feed prices is also putting pressure on the meat and cold cuts sector. Sausage market sources say that on average the increases in supermarkets are around 6%, while there are expected to be new increases that will either translate into direct price increases or reductions in discounts, as the sausage market is based on a large percentage of energy promotions on the counter or in the cold cuts.

Fertilizers: Unprofitable prices for traders

In the field of fertilizers, the CEO of the company Phytotreftiki SA, Nikos Koutsougeras, states that the largest increases are recorded in products such as potassium and urea.

“The prices are such that it will be difficult for a trader to decide to buy, as it is a big risk to bring a large container with goods. That is why there will definitely be shortages. We, on our part, have already suspended orders.”

“At the same time, there are Russian companies that sell potassium and urea, which due to restrictions can not send products”, adds Mr. Koutsougeras.

“Fertilizer prices have at least tripled from a year earlier. For example, urea from $ 250 has reached 1,100 per tonne. Ammonia sulfate from $ 120 per tonne has reached $ 500 per tonne and is not available. “Potassium chloride has jumped from $ 250 per tonne to $ 850 per tonne.”