It said rising global oil and raw materials prices were emerging as a fresh risk for the country, which is highly dependent on energy imports.
This is the reason why there is so little innovation in Russia, and why dependence on raw materials prices is rising while the overall growth rate is slowing.
And rising raw material prices are making wind farms more expensive to build.
Lower raw material prices are starting to boost margins, the company added.
Raw material prices are high, but the candy makers they supply will not pay more for semifinished products.
Then it might well decide to start the retrofitting now, when construction workers are easy to find and material prices are low.
In Spain and Ireland, worst hit by the credit crunch, joblessness is rising.Rising raw-material prices are a headache for policymakers, as well as a tax on consumers.
Higher raw-material prices are both a sign of increased demand in developing countries and a symptom of higher inflation in those nations.
"Raw material prices are flat," said Bob Wang, the sales manager at the Kralle Tools Company, a manufacturer in Wenzhou, in eastern China, that makes circular saw blades for lumber mills.
