Ukrainians no longer buy equipment? What happened to popular products

Since the beginning of a full-scale war in Ukraine, the cost of equipment has risen sharply. According to some estimates, the increase in cost occurred by 12-20%.

Aleksey Zozulya, the director of the Foxtrot chain of stores, spoke in an interview with Forbes about how demand has changed and what are the reasons for the rise in prices.

Demand has halved, stable market no longer exists

In many chains, only parts of stores operate. Some will not be able to open at all due to hostilities. And there is no stable market, according to Zozulya.

“In general, demand fell by half. There are categories that have fallen catastrophically, but there are abstentions, and which even increased sales. For example: in March, sales of TVs dropped to 70%, household appliances that were out of date at that time were built in, – said the head of the company.

In the same time the demand for power banks, smartphone accessories, small household appliances, etc. has sharply increased. because volunteers or internally displaced people needed these goods for the army and quick arrangement of life.

The logistics have also become too complicated due to the hostilities. It has noticeably risen in price, including due to fuel prices. In addition, companies suffer losses due to shelling and destruction of warehouses. In general, it all adds up to a picture where prices for household appliances and electronics for the population have increased. Though not as much as it could.

“Since the beginning of the war, prices have risen by about 12-20% in Ukraine. If it were not for the decision on critical imports, they would have risen much more. After all, it was the abolition of the duty that partially compensated for currency risks, the cost of logistics, which has grown enormously,” Zozulya explained.

The assortment has also decreased. Seaports, through which 70% of goods passed, are blocked. Something has been lost, and there is not enough capacity and channels for more imports.

Despite everything now on the market noticeable revival, as Ukrainians gradually return from abroad and start buying more. According to Zozulya, consumers have become less sensitive to the service. But how long this situation will continue depends on the war, and on the economic state, and on the mood and purchasing power of people.

Ukrainians may experience a shortage of glass

As we said earlier, the main suppliers of glass for windows before the full-scale war were Russia and Belarus. Now manufacturers are forced to look for new sources of supply, mainly in Europe.

But it’s expected prices will go up. The cost of products on the market has already grown rapidly: if back in April the average cost per square meter of window glass was UAH 270-320, now it is sold at UAH 300-600 per square meter, sometimes prices reach UAH 750 and more.

According to preliminary estimates, only in the central part of Ukraine it is necessary to supply up to 290 thousand square meters of glass per month. Glass will be especially needed when restoring houses destroyed by the occupiers. However, according to forecasts if supplies from the EU are established, the deficit will not be so noticeable.

Segodnya also wrote about how and why buckwheat has risen in price, and whether there is hope for a reduction in price, and what inflation is and how it affects our costs.