Silk Road Reporters

Since Russia’s annexation of Crimea in March, Western nations have imposed sanctions on Russia, including on its financial and energy sectors, as well as on a number of Russian nationals in President Vladimir Putin’s inner circle. In response, on Aug. 6 Putin imposed year-long food bans on the United States, European Union member states, Australia, Canada and Norway. Russia has also banned the transit of agricultural goods from Belarus and Kazakhstan following its embargo on EU food imports.

From the $43 billion of agricultural products Russia purchased abroad in 2013, $25 billion are now banned. According to Russian statistics, imports accounted for about 40 percent of household spending on food.

For the older Russian consumers this echoes memories of empty Soviet supermarkets, while the ban will likely spur inflation, currently hovering at about 7 percent this year.

Silk Road Reporters.

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