The analysis of competitive situation and a price situation in the markets of bread and bakery products and adjacent with them the markets of grain and the flour, carried out by Antimonopoly committee of Ukraine is presented.
The antimonopoly committee of Ukraine analysed competitive situation and a price situation in the markets of bread, bakery products and adjacent with them the markets of grain and a flour.
As it is noted in the message, during the investigation the Committee found out that the regional markets of bread remain monopolized in 13 areas, namely: in Vinnytsia, Volynsk, Ivano-Frankovsk, Kirovograd, Lugansk, Nikolaev, Odessa, Sumy, Ternopol, Hmelnitsky, Cherkassk, Chernovitsky and Chernigov, and also in Kiev.
According to Committee, further development of the competition in these markets constrains state regulation. The received conclusions confirmed that introduction in many areas of regulation of cost of socially important grades of bread led to decrease in profitability of production and their unprofitability.
Besides, state regulation differs in regions in a form and methods. Owing to what considerable differentiation of the prices for similar types of production is noted, namely: 1,36-1,98 úÓ¡./kg for bread from a flour 1/with and 1,17-1,85 úÓ¡./kg for bread from the mixed rye wheat flour. Thus, different approaches to price control create unequal conditions of activity of producers of bread and a certain social tension.
Also bodies of Committee established cases of artificial overestimate of the prices for a flour within functioning of vertically integrated structures and large suppliers of a flour that can influence pricing. Such structures exist in the Crimea, Vinnytsia, Dnepropetrovsk, Ivano-Frankovsk, Kirovograd, Poltava, Sumy, Cherkassk and Chernigov areas.
Also in many regions the powerful enterprises include in prime cost of bread a flour at inflated price. In turn, it leads to artificial overestimate by producers of the expenses, allows to overestimate final cost of bread or to speculate with the difficult financial position for again production rises in price. Upon these violations bodies of Committee make investigation.
As the chairman of AMKU A.Kostusev noted as much as possible to minimize negative factors and to provide further stability of the markets it is necessary to enter, first, constantly operating monitoring of the market of grain and to form data of monthly distribution of grain on types and classes. It concerns volumes of its consumption, storage and the remains at producers of all forms of ownership. Secondly, for carrying out interventions by Agrarian fund it is necessary to buy necessary amount of grain and a flour in a state reserve, to create regional stocks. Thus to provide direct access of the baking enterprises to raw materials purchase from reserves for updating of stocks and implementation of interventions. It is expedient to accept also the concrete normative document which would oblige to buy baking enterprise monopolists this production on the competitive beginnings.
The chairman of AMKU considers necessary to develop system of actions of gradual transition to free pricing in the markets of bread and bakery products, and also mechanisms of receiving soft loans the enterprises of this branch.
(On materials of the Portal of the Ukrainian grain association).