Opening the meeting, Viktor Zubkov said that deflation in the food market continued in September. Food prices fell by 0.6%.

"According to the Federal Service for State Statistics, prices fell for potatoes (by 26%), onions (20%), carrots (20%), millet (20%), cabbage (14%), sugar (10%)," the first deputy prime minister noted.

Commission members also discussed the Economic Development Ministry's forecast of food prices till the end of 2011. The ministry expects the situation on the food market to remain stable, with no factors that could result in price fluctuations.

Other issues discussed during the meeting included the impact of shipping costs on fruit and vegetables prices.

"This is a pressing issue, especially for agricultural producers in the south of Russia, who face difficulties with supplying products to large cities with high demand. I was told this by farmers themselves. Volgograd farmers regularly raise this issue when I visit the region," Zubkov said. "As of September, the average monthly retail price for carrots in the Volgograd Region was 12.8 roubles. Even with the retail mark-up, this price is nearly half the price in Moscow and St Petersburg, where it is 24.53 and 23.01 roubles, respectively. Also, onion prices in the capital are 50%-100% higher than in Volgograd; tomato prices – 70% higher; cabbage and cucumbers – 50% higher; potatoes and sugar beets – 33% higher; and apples – 25% higher," the first deputy prime minister said.

"We must optimise shipping expenses to ensure the economic efficiency of supplies of competitive fruit and vegetable products to financially reliable markets by agricultural producers," Mr Zubkov said.

Summing up the meeting, the first deputy prime minister gave instructions to the commission members to continue monitoring the price situation on the food market on a monthly basis, and to prepare an analysis of agricultural producers' expenses when delivering their products to other regions' markets.