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WORLD NEWSThursday 31 December 2015

In Russia, recession takes a bite out of the holiday feast

NATALIYA VASILYEVA est economic downturn in hometown of Valdai in the times used informally as a the annexation of Crimea
Associated Press President Vladimir Putin’s 15 north-west, says the usual benchmark for the cost of in 2014, but his government.
MOSCOW (AP) — For most years in office. items he would buy for the living since it contains sev- 81-year old Iraida Robkova
Russians, it’s not New Year’s The economy has been in holiday became 30 to 40 eral staple ingredients, is says the 2000s were prob-
without a Salad Olivier, a decline for a couple years percent more expensive indicative of a rise in food ably the most secure and
dish meant to augur pros- due to sanctions and a over the year, causing him costs. Groceries for a typi- happy years of her life be-
perity. This year, soaring slump in the price of Rus- cut down on spending. cal holiday dinner for two fore the economy went
food costs mean the tra- sia’s valuable oil exports. The national currency, the including vegetables, sau- downhill last year: “We
dition can also be a pain- But this New Year’s Eve will ruble, has fallen about 20 sage, cheese, pickles and were free to speak what
ful reminder of how rapidly arguably be the first in more percent against the dollar chicken would cost 5,790 we wanted, to buy what
rubles ($80) this year, 28 we wanted, travel wher-
A seller puts salad Olivier in a container for a customer in GUM Department Store in Red Square percent higher than a year ever we wanted and the
in Moscow, Russia, Tuesday, Dec. 29, 2015. For most Russians, it’s not New Year’s without a Salad ago. prices were not that high.”
Olivier, a dish meant to augur prosperity. This year, soaring food costs mean the tradition can also “This year, Russians are cel- Robkova, who lives in Mos-
be a painful reminder of how rapidly many Russians’ wealth is fading amid recession and Western ebrating without much joy cow, spends at least 2,500
sanctions. because the year has been rubles ($35) a month on
tough,” says Marina Krasil- medicine — while the state-
(AP Photo/Pavel Golovkin) nikova, a researcher at the sponsored allocation is just
polling agency Levada. 800 rubles ($11) — and says
many Russians’ wealth is than a decade when Rus- this year, on top of a 40 per- “People are growing less she would not be able to
fading amid recession and sians are feeling the pain of cent slide in 2014, pushing confident in the economic afford a New Year’s dinner
Western sanctions. recession at the table. up the price for imported situation of the country.” if it wasn’t for her daughter
The mix of chicken, po- “Before, you could buy goods. A Russian ban on Retail sales were down 13 and son-in-law, who also
tatoes, peas, carrots and jewelry or expensive per- Western food imports, im- percent in November com- help her pay for groceries
mayonnaise - which was in- fume for the New Year,” posed in retaliation for U.S. pared with a year earlier, and utilities.
troduced by a Belgian chef says 65-year old Nikolai and European economic the sharpest decline since Robkova blames the eco-
in the 19th century, and Skomorokhov, who retired sanctions, has further hurt 2000, the economic devel- nomic problems on Putin’s
shed richer ingredients like this month. “This time, it’s supply, pushing up prices. opment ministry said in a state ministers.
grouse and crayfish amid about the bare minimum. Official consumer price in- report this week. In recent “Putin did a great thing: he
food shortages under the We’re mostly spending on flation was around 12 per- years, as Russia’s oil-fueled got us Crimea back,” she
Soviets - will cost 35 percent the celebration.” cent this year, but New economy was stagnating, says. “But things are difficult
more to prepare this year. Skomorokhov, who is vis- Year’s shopping shows a retail sales were support- for him. His team is weak.”
The stiff rise, reported by iting his daughter and much higher rate. ing the economy. Not any- Economists are warning
the federal statistics office, grandchildren in Moscow The rise in the cost of a Sal- more. that lower incomes and
comes amid the deep- for the holidays from his ad Olivier, which is some- “Unlike during the 2008- higher prices are pushing
2009 crisis, the food con- millions back below the
sumption has fallen as dra- poverty line.
matically as the consump- About 39 percent of Rus-
tion of durable goods in sians now say they are ei-
2015,” the ministry’s report ther short of money to buy
said, adding that Russians food or cannot afford new
are cutting down on food clothes, compared to 22
as the prices rise. percent just a year ago,
Worries about the econo- according to a recent poll
my featured prominently by VTsIOM. Some 1,600
in Putin’s annual news con- people were surveyed by
ference earlier this month, phone in mid-December in
when journalists from state- the poll, which had a mar-
owned media, not known gin of error of 3.5 percent-
for asking tough questions, age points.
grilled the president about Times are getting tougher
falling incomes and living even for those who left low-
standards. Yet the major- paying jobs in the regions
ity of Russians tend not to in search of higher wages
blame Putin, whose popu- in Moscow and other big
larity remains buoyed by cities.q