Physical Address

304 North Cardinal St.
Dorchester Center, MA 02124

Prices in supermarkets have already risen 11% so far in January

For example, according to a survey carried out by Ambit in a supermarket chain, a basket composed of 35 products -including food, drinks, cleaning and personal hygiene items- presented an increase of 11.3% so far in January.

In the last week alone, the increase was 5.5%. Although the increases were not homogeneous, some articles presented strong jumps, which pushed the average up. It was the case of the toothpaste, which shot up 82.5% in the last week alone.

Although to a lesser extent, there were also marked increases in liquid soap for clothes, which rose 27% in the last week; kitchen rolls, 22.5% and the toilet paper, 20%. Among foods, it was fruits and vegetables that led the increases: apple climbed 20% and the tomato 11%. He Anco squash rose 31% in the week, but as in the previous one it had registered a decrease, so far this month it has accumulated an increase of 25%.

For your part whole chicken rose 8.8% in the week and the kilo was located above the different beef cuts such as the roast tapa, the vacuum and the roast which, while the value of the standing herd fell in recent weeks, maintained their values ​​on the counter.

Although it is not an essential product, another of the items that increased the most in the last week was a top brand beer: the price of a liter bottle rose 29.5%.

Inflation: the products that rose the most in January

Half of the products surveyed within the basket showed increases so far this month. These increases are led by toothpaste, after the jump in the last week. It is followed by tomato (42.9%), cooked sliced ​​ham (38%), beer (29.5%), liquid laundry soap (27%), rice (25.6%), detergent (24%). Toilet paper rose 20%. And top brand cola soda 15.8%.

Different factors can affect price increases in mass consumption items. To the high inertia left by December, with the unfreezing of official agreements and the devaluation, were added different increases in fuel and the jump in the exchange gap during January.

“I consider it to be a little bit of everything. All of these factors can influence. The one who should respond to this with fundamentals is the industrial and productive sector,” Víctor Palpacelli, president of the Argentine Federation of Supermarkets (FASA), told Ámbito, who remarked: “I believe that as long as inflation rates are high, price changes will always continue to appear.”.

The strong price increases had a full impact on consumption. A reality that was already observed in December and that continues throughout January. “There is a decline in consumption, which continues at low levels. In the projection we have so far, January would end with a 5% drop in unit sales in the year-on-year comparison”Palpacelli summarized.

Who detailed: “It is a product of the increases we receive in prices and the loss of purchasing power. It is directly related to that. It was assumed that this was going to happen, it is inevitable. And looking at what can be expected in the future, we know that this retraction will continue for at least one quarter. Then it will gradually disappear, depending on the results of the macroeconomic adjustments and the measures taken that may contain the inflationary indices.”

What can happen to prices in January


According to consulting firms, January inflation would once again be above 20%

Mariano Fuchila

In this context, after the INDEC released the December data, which with a variation of 25.5% recorded the highest inflation in 33 yearsfrom different consulting companies analyzed how prices evolve during January.

In this regard, CEPA maintained that “The effect of the devaluation and the increase in the PAIS Tax will still have effects on January prices“, while they detailed that ““In Food and Beverages there were highlights in all areas.”

For their part, from LCG they indicated that “The year began with the announcement of some increases in regulated prices and in prices that had been frozen until now”. “Fuels increased 27% (after the 82% increase in December) with drag to other prices in the economy. The first authorizations for increases in Transportation and Prepaid are also added. This imposes a floor of 15 pp for January inflation,” the consulting firm noted.

“Although a slowdown may be seen compared to Decemberwe expect a high record also for this month, around 25%. Going forward, adjustments in public service rates are pending and probably a new exchange rate slide if a rate of price growth 10 times higher than the official dollar is sustained,” they concluded.

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *