Prices in Hungary skyrocketing since the start of the war
The war in Ukraine has far-reaching consequences – Reaching agriculture and food production in Hungary as well.
Since Russia unilaterally invaded Ukraine, food prices on the international market have been going through a steady and steep incline. The same is true for Hungarian prices.
According to the latest data as published in the most recent Vegetables, fruits, wine thematic report by the Institute of Agricultural Economics (AKI), vegetable and fruit prices have started rising similarly on the Hungarian market, compared to their value in the same period in 2021. A few examples include: Bell pepper (+16% increase), pear (+25%), cucumber (+24%).
The overview compares vegetable/legume and fruit prices from Week 9, 2021 and those from Week 9, 2022, taken at the Budapest Wholesale Market. Most vegetable varieties have gone through various levels of price increase.
The prices of various types of potatoes went up by 25%-62% since the spring of 2021. The price available for one of the tomato varieties shows a 43% increase. Paprika (sweet pepper) went up by 12.8%-25%. The price increases of various types of pumpkins were 40%-71%.
The prices of various legumes and roots like celery, radish, beetroot, lettuce, iceberg lettuce, lollo rosa and lollo bionda lettuce, Chinese cabbage, kale, kohlrabi, carrots, sorrel and spinach increased by 3%-26% as well, with the exception of red cabbage, the price of which went down by 6.8%.
|Serbian farmers are also feeling these effects. See more details here.|
As cereal prices on the global market are rising, the prices in Hungary are following suit. According to the latest figures from AKI, the prices of wheat and maize have increased by around half compared to the price levels in March, 2021.
In the second week of March, the price of mill wheat per ton has reached €299.3 on the market, which is a 56% y-o-y increase. Animal feed wheat saw an even steeper increase, as it went for €286.9 per ton, which is a 67% y-o-y change.
At the Budapest Stock Exchange, prices in forward contracts did not change. The strike price of euro wheat for September remained at €279.8. For ISCC NUTS II sustainable animal feed wheat remained at €281.7 for May and €277.01 for September.
The price of maize reached €278.22 per ton in the second week of March. This is a 48% y-o-y increase. The strike price for ISCC NUTS II sustainable animal feed maize was €308.65 for May, and €263-€264 for November and December, all of which showed a slight, €5 increase. The strike price for July remained at €296.57.
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