Indexes

After consistent increases in two previous months, the average cost of cooking one standard Imeretian khachapuri stayed at 3.35 GEL in October 2014, unexpectedly bringing the Khachapuri Index to a halt. The Index dropped 0.1 % month-on-month (compared to September 2014) and year-on-year (compared to October 2013).

The average cost of cooking one standard Imeretian Khachapuri in November 2014 was 3.34 GEL, which is 0.2% lower month-on-month (m/m, that is compared to the previous month), and 2.4% lower year-on-year (y/y, that is compared to the same month of last year). However, Khachapuri became even cheaper for foreign currency earners because of a sudden GEL depreciation (m/m and y/y) relative to USD and EUR during the last two weeks of November.

The average cost of cooking one standard Imeretian khachapuri varied in September 2014 across Georgian cities from 3.01 GEL, the minimum observed in Telavi, to 3.55 GEL, the maximum observed in Tbilisi and Kutaisi. The average price was 3.35 GEL, which is 3.2% higher compared to the previous month (August 2014), and 13.7% higher compared to September of last year.

In September 2014, the cost of cooking one Imeretian khachapuri gained 3.2% relative to August, reaching 3.35 GEL. Importantly, Khachapuri Index added much more than 13.7% in annual terms, suggesting that Georgia is beginning to experience inflation, at least as far as food prices are concerned.

The ISET Khachapuri Index continued moving along its upward seasonal trend, reaching 3.35 GEL in September 2014. This is 3.2% higher compared to August 2014 (m/m) and 13.7% higher compared to September 2013 (y/y). Such a sharp increase in prices was not unique to Khachapuri ingredients, however. As reported by GeoStat, the general Consumer Price Inflation (CPI) in September 2014 reached 1.2% in monthly terms and, what is more alarming, 4.8% relative to September of last year (y/y).