The impact of the war in Ukraine on Spanish consumers according to the OCU

The impact of the war in Ukraine on Spanish consumers according to the OCU



ABC
Updated: 03/11/2022 12:53 a.m.
Keep
Related news

The latest Price and Consumption Index for the month of February shows a rise of 7.6%, with a rise in electricity of 80.5% and more than 50% in fuel. The Spaniards are already noticing this rise in prices in their pockets, for which part of the blame is
ukrainian war
.

Since Vladimir Putin invaded the country of Volodimir Zelensky on February 24, prices have begun to rise notably, although it should not be forgotten that the inflationary spiral was already high, especially at the end of 2021 and the beginning of this anus.

In fact, before the conflict between the two eastern countries began, inflation was already 7.4%, two tenths below the current figure.

However, the Organization of Consumers and Users (OCU) has produced a report in which it explains the main consequences of the war in Ukraine for the Spanish.

Soaring energy prices

The OCU estimates that energy prices have increased between 46 and 136 euros per month. In the case of electricity, the additional cost that can be paid will exceed 50 euros per month.

One of the measures that would alleviate the high energy prices is the suspension of taxes, as requested by the OCU. In fact, the electricity
could go down 75%
if gas prices in electricity generation were capped.

Diesel, above 50 euros per month

The price of a barrel of Brent is already above 100 dollars. This has caused the prices of gasoline and diesel to have also skyrocketed, especially affecting the self-employed and carriers due to the rise.

Thus, those who have a diesel car already pay an extra cost of 55 euros per month compared to 2021. It is estimated that the price has risen 20% compared to just one year ago.

And those who have a gasoline car are not spared either, since the rise in prices is similar. The increase has been 15%, according to the accounts of the OCU, or what is the same, about 22 euros more. Only in two weeks the increase has been 11 euros.

And the worst thing is that more price increases are expected in the coming days. This will force prices of consumer goods to rise.

Food and raw materials

Food prices are higher and food will be less available. Ukraine is an exporter of cereals, grains and seeds such as sunflower, corn, wheat or legumes. Practically, almost half of the cereals that Spain imports come from this country.

In the case of sunflower oil
there are establishments
that put restrictions on massive sales, to avoid shortages.

In addition, both Russia and Ukraine are two countries that produce raw materials such as nickel or aluminum. A low availability of these materials will cause technological devices or components of devices to notice the rise.

Investments and the Stock Market: what to do?

European stocks have fallen due to the war in Ukraine and many investors will be wondering what to do. According to the OCU, despite the conflict, it is a "priority" not to panic and think of a long-term strategy.

View commentsTopics



Source link