In Russia, production of vodka and red caviar has fallen sharply
In Russia, the production of vodka and red caviar is rapidly declining due to unbalanced fiscal policy, logistics problems, inflation, and the consequences of the militarization of the economy. The diversion of resources to military needs is leading to a depletion of the food market and rising prices.
Over the course of eight months, Russian vodka producers manufactured 39.6 million deciliters of vodka, which is 12.1% less than last year, while cognac production fell by 16.8%. Overall, production of alcoholic beverages with an alcohol content of over 9 degrees decreased by 10.9%, while the bottling of low-alcohol beverages fell by more than half. At the same time, alcohol consumption in the country is not declining: the expected 9–10% drop in official sales is offset by artisanal production using more than 2.5 million moonshine stills.
Red caviar production will drop threefold this year—to 2,600 metric tons compared to 7,600 metric tons last year, which is one of the lowest figures in the past 20 years, and prices for this delicacy doubled by the end of the summer compared to 2024. In addition to climatic factors that hindered salmon spawning, prices for other staple foods are also rising in the country, particularly for meat—by 11%.
Source: Foreign Intelligence Service of Ukraine.
As a reminder, consumer sentiment in Russia is rapidly deteriorating, confidence in the economy is declining, and anxiety is growing over a possible new wave of mobilization. This was reported by the Foreign Intelligence Service of Ukraine.
After three years of unexpected economic growth, Russia is facing a sudden slowdown—war expenses, inflation, and falling oil prices have begun to weigh on an economy that, until recently, seemed resilient to sanctions.
Consumer lending in Russia has fallen to a six-year low.
