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Russian economy meltdown as potato prices soar 167% as 'recession' warning sent
Daily Express MSN News ^ | 7/8/2025 | Rebecca Robinson

Posted on 07/09/2025 4:42:47 AM PDT by marcusmaximus

Vladimir Putin has been warned that Russia is facing an economic crisis as potato prices shoot up and fail to meet high demand. Prices of potatoes have skyrocketed by a staggering 167% over the last year, marking the most significant increase among foodstuffs. The Russian President admitted in May: "It turns out that we don't have enough potatoes. I spoke with [President of Belarus] Alexander Grigoryevich Lukashenko. He said, 'We've already sold everything to Russia'."

The soaring cost of this staple is attributed to poor harvests reducing supplies. Compounding this, households are turning to the typically affordable food option as their incomes shrink. Andrey Sizov, an expert on Russian commodities, said butter, eggs, and meat have also seen prices surge due to shortages.

He told The Telegraph: "My speculation is that supply went down, and actually demand went down a little bit.

"Potatoes are not an expensive food. In the previous two years, it was first of all poor Russians who were making more money. So they could consume something else - less potatoes, more meat and butter, for example."

With food prices on the rise and labour shortages persisting, inflation remains stubbornly high, causing significant fissures in the economy.

Economy minister Maxim Reshetnikov recently warned: "We're basically already on the brink of falling into a recession."

(Excerpt) Read more at msn.com ...


TOPICS: Chit/Chat
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To: BobL
Yeah, it really is a shame that we can’t, like, boost production!

Regards,

21 posted on 07/09/2025 6:31:26 AM PDT by alexander_busek (Extraordinary claims require extraordinary evidence.)
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To: alexander_busek

“Yeah, it really is a shame that we can’t, like, boost production!”

Absolutely! It was decisions made long ago by both parties. Shut down mines and refining, off-shore high labor items, and everything else. I’ll concede that we prospered, but with supply lines all over the world, and particularly in China, it wasn’t such a good idea from a security standpoint, as we’re now seeing.


22 posted on 07/09/2025 6:35:40 AM PDT by BobL
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To: Socon-Econ

Agreed. And growing up in the cold war, my knee jerk reaction is to sometimes cheer when Russia is supposedly hurting. But as time goes on I’m starting to think that Russia, Poland, and Hungary may be the only thing saving Europe from the Muslim invasion.


23 posted on 07/09/2025 6:37:02 AM PDT by Tell It Right (1 Thessalonians 5:21 -- Put everything to the test, hold fast to that which is true.)
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To: libertylover
”…Say wha?…”

Yes, we have no potatoes We have no potatoes at all today

24 posted on 07/09/2025 6:38:55 AM PDT by GaltAdonis
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To: bert

Grok is not quite in agreement with your assessment:

The Russian economy has not collapsed as of July 2025, but it is under significant strain. GDP grew by an estimated 4% in 2024, driven largely by massive military spending, which accounted for 32.5% of the federal budget in 2025, up from 28.3% in 2024. However, growth is slowing, with projections for 2025 ranging from 1.3% (IMF) to 2.5% (Russian Ministry of Economic Development).

Key pressures include:
• Inflation: Persistently high, at 9.8% in Q1 2025, down from 12.9% in Q4 2024, fueling stagflation risks.
• Interest Rates: The Central Bank raised rates to 21% in October 2024 to combat inflation, stifling investment and increasing corporate bankruptcy risks, particularly in real estate.
• Labor Shortages: A record-low unemployment rate of 2.4% masks a severe worker shortage, with 2.6 million jobs unfilled due to military mobilization and emigration.
• Sanctions and Oil Revenue: Western sanctions and falling oil prices (projected to drop to $65-$71 per barrel in 2025 from $80 in 2024) are reducing export revenues, critical as oil and gas account for 25-50% of the budget.
• Fiscal Strain: The National Wealth Fund has dwindled from $117 billion in 2021 to $31 billion in November 2024, and the budget deficit is projected to rise to 1.7% of GDP in 2025.
• Banking Risks: Russian banks report growing bad debt, raising fears of a systemic crisis within the next 12 months.

Despite these challenges, the economy remains resilient, propped up by defense spending and oil exports to countries like China and India. Some analysts warn of a potential recession or banking crisis in 2025, especially if oil prices drop further or sanctions tighten, but a total collapse akin to the 1990s is considered unlikely due to remaining reserves and adaptive measures like shadow fleets for oil exports. Others argue the economy is stagnating, with long-term decline due to aging infrastructure, low R&D investment (1% of GDP), and dependence on China.

Posts on X reflect mixed sentiments: some highlight economic problems like wage arrears and labor shortages, while others claim resilience despite sanctions. These are inconclusive but show ongoing debate. The Kremlin prioritizes military spending, which sustains growth but exacerbates imbalances, making a “soft landing” the best-case scenario for 2025, with stagnation or a mild recession more likely than a collapse.


25 posted on 07/09/2025 6:48:18 AM PDT by MrRelevant
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To: marcusmaximus

26 posted on 07/09/2025 7:06:45 AM PDT by Allegra (Thank you for your attention to this matter. )
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To: All

The way to see what life looks like in Russia is via youtube, but you must know what you’re doing. You must turn the sound off. And you must generally not look at what is prominent in the camera. The point is to distrust everything. Propaganda from either side.

This couple travels Asia. British guy and his gf. They make their living doing this via Youtube and Patreon and whatever will pay money for views. I am generally hesitant to watch too many of theirs from Russia because again, distrust everything, and they do not post often enough to provide me with insulation from possible orchestration. I evaluate frequent videos as insulation. No govt bureaucracy could manufacture backgrounds that quickly.

But this is 3 months old and revealing, as are the Traveling With Russell vids, much more frequently posted.

https://www.youtube.com/watch?v=Ft2sCeB26Co
Note this couple are in Afghanistan now. They go places to show people something the MSM doesn’t.

Oh and one more thing from the article. India imports about 4.5 million barrels per day, China about 10 million bpd. The world as a whole consumes about 1.5 million bpd more than produced (in the stats, because of accounting for what is loaded aboard and enroute at any time) — the point being there is nowhere else for China and India to get oil. OPEC+ is raising output a few hundred K bpd (Russia is part of OPEC+) and that doesn’t dent the differential above for China and India.

You cannot stop them from buying oil from Russia, regardless of tariffs or sanctions. They would starve. Oil moves food to shelves. They have to eat and there is nowhere else to get oil.

Behold the power of scarcity.


27 posted on 07/09/2025 7:22:07 AM PDT by Owen
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To: marcusmaximus

PLEASE, SIR, can you spare a potato?


28 posted on 07/09/2025 7:52:50 AM PDT by House Atreides (https://www.youtube.com/watch?v=CnVFlcTy0DcI’m now ULTRA-MAGA-PRO-MAX>)
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To: BobL
Patriot Interceptors. Then it's on to the end game, which is NEVER recognizing the obvious, which is that Ukraine is no more

Historically, wars are not won by terror bombing civilian populations. Nazis didn't break the British will with terror bombing and nazi Germany didn't break when its cities were completely devastated. Their army was defeated.

29 posted on 07/09/2025 7:54:56 AM PDT by tlozo
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To: marcusmaximus

Another potato crisis in Russia?!


30 posted on 07/09/2025 8:20:12 AM PDT by Kazan
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To: Kazan

Another potato crisis in Russia?!


It was a factor in Khrushchev losing his job, in 1964. His “Virgin Lands” project was a big failure.


31 posted on 07/09/2025 8:21:11 AM PDT by dfwgator (Endut! Hoch Hech!)
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To: Kazan

No, this is the same crisis that has been the reality for perhaps a year now


32 posted on 07/09/2025 8:22:18 AM PDT by bert ( (KE. NP. +12) Where is ZORRO when California so desperately needs him?)
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To: BobL
alexander_busek: Microsoft Copilot, I have a question regarding the sourcing of parts for the Patriot missile.

Microsoft Copilot: The sourcing of parts for the Patriot missile system is tightly controlled and primarily handled by major U.S. defense contractors, most notably Lockheed Martin and Raytheon Missiles & Defense.

🔧 Key Suppliers & Contracts

Lockheed Martin is the sole source for many Patriot missile spares under a multi-year contract with the Defense Logistics Agency (DLA). These contracts cover fiscal years 2025 through 2027 and include a wide range of components, from circuit boards to electronic assemblies2.

Raytheon Missiles & Defense was awarded a $14.4 million order for Patriot missile parts in 2023, reinforcing its long-standing role as a primary supplier for the system.

📦 Parts & Components

The Patriot system includes thousands of parts, such as:

Electrical plug connectors

Adapter assemblies

Radar components

Launch control electronics

📜 Procurement Details

These parts are often procured under sole-source contracts, meaning only one supplier is deemed capable of meeting the technical and security requirements.

Pricing and proposals must comply with Federal Acquisition Regulations (FAR), including detailed cost breakdowns and subcontractor disclosures.

If you're curious about a specific component or how international partners source their Patriot systems, I can dig deeper. Want to explore that?

alexander_busek: Microsoft Copilot, What percentage of parts stem from China?

Microsoft Copilot: 🔍 The exact percentage of Patriot missile parts sourced from China isn’t publicly disclosed by the U.S. Department of Defense or its contractors, but recent investigations and reports suggest that Chinese-made components—especially semiconductors—are embedded in many U.S. military systems, including the Patriot missile platform.

📊 Key Findings from Reports

Around 40% of semiconductors used across U.S. defense systems are manufactured in China, and these chips are found in platforms like the Patriot missile, B-2 bombers, and Javelin anti-tank weapons.

Many of these components enter the supply chain through open market transactions, often at the lower tiers of subcontracting, making them harder to trace and regulate.

⚠️ Security Implications

The reliance on Chinese electronics has raised concerns about vulnerability to supply chain disruptions, espionage risks, and counterfeit parts.

U.S. lawmakers and defense officials have been pushing for domestic semiconductor production and supply chain diversification, with states like Florida investing heavily in local chip manufacturing.

alexander_busek: In summary, it looks like President Trump has a good handle on the matter!

Regards,

33 posted on 07/09/2025 9:29:19 AM PDT by alexander_busek (Extraordinary claims require extraordinary evidence.)
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To: Mlheureux
"Used to make Vodka." Which means Putin and the oligarchs are scamming making less money.
34 posted on 07/09/2025 9:34:31 AM PDT by TexasGator (-i.. logo About Issues Projects Products Connect Subscribe Invest June 19, 2025 | Insight '1-1111 -)
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To: FLT-bird

Is this false?

“Economy minister Maxim Reshetnikov recently warned: “We’re basically already on the brink of falling into a recession.”


35 posted on 07/09/2025 9:36:13 AM PDT by TexasGator (-i.. logo About Issues Projects Products Connect Subscribe Invest June 19, 2025 | Insight '1-1111 -)
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To: FLT-bird

Maxim Reshetnikov, Russian economy minister, June 19 at the St. Petersburg International Economic Forum: “Based on current business sentiment, it seems to me we are on the brink of transitioning into recession.”

Elvira Nabiullina, head of Russia’s Central Bank, June 19: “We have been growing for two years at a fairly high rate due to the fact that free labor resources were used... “But many of these resources have really been exhausted.”

https://www.newsweek.com/putin-russia-economy-gref-2092918


36 posted on 07/09/2025 9:40:01 AM PDT by TexasGator (-i.. logo About Issues Projects Products Connect Subscribe Invest June 19, 2025 | Insight '1-1111 -)
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To: marcusmaximus

Just think what the holidays will be like. The serfs will be hungry and angry. Sounds ripe for a (capitalist-sponsored) revolution.

They have nothing to lose but their chains.

Such is the fate of KGB regimes.


37 posted on 07/09/2025 9:43:27 AM PDT by Justa (Our constitution was made only for a moral and religious people....)
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To: marcusmaximus
Ukrainian Defenses Completely Collapsed In Kamyanske l Russia Fully Captured Malynivka

Russian Drones/Missiles Swamp Ukraine Biggest Ever Strike; Trump Boils Over Patriots At 25% US Needs

38 posted on 07/09/2025 10:20:45 AM PDT by Kazan
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To: Kazan

Putin conquer tree line in Donbas! On to Berlin!


39 posted on 07/09/2025 10:23:45 AM PDT by marcusmaximus
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To: TexasGator

Its more of the standard British tabloid propaganda we’ve all heard a million times before from them until PROVEN otherwise but one of their predictions actually happening for once.


40 posted on 07/09/2025 10:58:56 AM PDT by FLT-bird
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