The troublesome financial situation in the country is what has triggered the situation, Newsru.com reports. The supermarkets are practically all dependent on a functioning credit market as wholesalers take short-term bank credits for buying foodstuff from producers and then selling it to the shops.
Now the chain has ruptured with banks now longer willing to offer the credits. Subsequently, the wholesalers are no longer able to buy the foodstuff from the producers and then sell it on to the supermarkets, newspaper Komsomolskaya Pravda reports.
Consequently, the shops are emptying.
The situation has now made Russians line up in the shops and secure their necessary products. The result is an even more rapid decrease of good in the stores.
A similar situation has appeared in the coal business with wholesalers not getting their credits and thus not buying the raw material. Consequently, the consumers remain without coal supplies, Komsomolskaya Pravda writes.
For Russians, the situation is an unpleasant reminder of the troublesome 1990s. Then, the lack of foodstuff came after the total collapse of the Soviet economy. Now, the foodstuff problem comes in a situation with economic growth and budget surplus. That could prove hard to explain for the man in the street.
