Ukraine: depopulation rates and changes in the food culture slowed down development of the domestic flour market – expert
While analyzing the trends and prospects of development of the domestic market of flour in Ukraine, it is possible to specify two basic trend – reduction of the population figures and its structural changes, and changes in the consumer preferences of Ukrainians, declared the Director of the Union "Millers of Ukraine", Rodion Rybchinskiy, during his report at the workshop "Grain and flour markets in Central Asia" in Almaty.
According to the official statistics figures, in 2017 the population of Ukraine totaled 42.8 mln people, a decrease of 8% compared with 2007. At the same time, the rates of rural population declining are slightly higher, and total nearly 1.3% per year, against the rates of urban population decline at 0.8% per year, noted the expert.
The reporting trend became the major reason for reduction in the demand for flour on the retail market. In addition, in terms of the progressive growth of the average salary in Ukraine by nearly 15%, the market demonstrated some changes in the food culture, and declining of the consumption of flour products by the enterprises-producers.
According to R.Rybchinskiy estimations, the production of flour products in Ukraine continues declining by nearly 9% per year. The reporting trends taken together are quite critical in development of flour exports.
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