The Russian market experienced a boom in demand for sporting and outdoor goods since Sept. 21, when the Russian president declared the first mass mobilization in the country since the second world war. The demand for military ammunition has sharply risen in Russia, and the price of sporting and outdoor equipment has skyrocketed during the past few weeks as the mass mobilization exposed heavy shortages of key pieces of equipment, from sleeping bags to boots, which Russian conscripts are forced to buy themselves.
The extent of the increase in demand is not entirely clear. Russia’s largest marketplace, Wildberries, estimates that sales in the wool sock category have skyrocketed by 25,339 percent, hiking boots by 8,250 percent, balaclavas by 6,206 percent, and sleeping bags by 2,657 percent compared to previous weeks. The situation is similar for hiking backpacks, tents, travel heating pads and several other items of equipment.
Dmitry Ermolaev, CEO of the Russian analytical firm Moneplace disclosed that with the beginning of mobilization, Russian marketplaces experienced a drop in overall sales by close to 5 percent. On the other hand, in the sporting goods category, sales hit heights never seen before. The sales are mainly driven by the panic factor. In addition, several companies take advantage of the agiotage buying, purchasing sporting and outdoor goods in large quantities to re-sell them at higher prices, Ermolaev said.
Maxim Tsaregorodtsev, director of Russian outdoor goods retailer Uniarms, said that the demand on the market since the beginning of the mobilization in the country skyrocketed by 600 or 700 percent. “Our staff practically lives at work for four days. The [outdoor] season hasn’t started yet. They [conscripts] buy thermal underwear, the warmest available, thermal socks. They take whatever is left. Every day they buy a lot, and new orders keep coming in.” Against this background, prices jumped 100 to 500 percent in some categories.
The Russian Federal Antimonopoly Service (FAS) has requested clarification from the specialized military goods retailer Voentorg and sporting goods retailers Sportmaster and Hakki regarding a sharp rise in prices in the past few weeks. The request is based on a complaint expressed by a group of Russian lawmakers, who cited worries of Russian citizens about an “unreasonable increase in prices for military equipment and other military products.” Sportmaster replied that it has no military equipment in its range and has not raised the prices lately.
The scale of mobilization is something that is yet to be seen. The Russian Defense Ministry said that it planned to call up 300,000 men. On Sept. 22, independent news outlet Novaya Gazeta Europe, citing a source from the Putin administration, reported that the classified paragraph from the mobilization decree allowed for up to one million draftees.
Photo by Filip Andrejevic on Unsplash
