September 2021 | Prices continue to rise
08 October 2021

In September 2021, the average cost of cooking one standard Imeretian khachapuri stood at 4.80 GEL, which is 0.6% lower month-on-month compared to August 2021, and 14% higher year-on-year compared to September 2020.

Every ingredient contributed to annual inflation in the Khachapuri Index, where the price of all the ingredients increased: cheese rose by 11.5%, flour by 20.6%, eggs 24.3%, yeast 15.0%, milk by 12.7%, and butter increased by 15.7%.

The highest increase in yearly terms was observed in the price of eggs. Most of our consumption is not imported, and out of the total egg supply in 2020 (739 mln. pieces) 91% was produced domestically, with a self-sufficiency ratio for eggs of 97%. However, egg production heavily depends on imported inputs. According to egg-producing companies, the rise in input prices has led to a steady increase in egg prices. One of the main contributors to this growth is the price of cereals, acting as a main input in egg production. With Russia as the main cereal supplier, prices may increase further still as the export tax burden on wheat is increasing. Russian wheat prices moreover reached a record high in August 2021.