There is no end to raging price hikes. Prices of food and consumer staples are rising steadily, while new wholesale price lists with average increases of 11.5% hitting supermarket shelves portend another rise in inflation this month as well.
Prices of food and household items have climbed as much as 40% in the past four months as real consumption fell sharply, with households cutting back not just on clothing and footwear, home appliances and fuel, but also on inelastic demand items, such as food products (dairy, meat, cheese, etc.).
Sales fall by 9%
Already, according to market players, in terms of sales volume, the decrease reaches 9% in the first half of this year compared to the corresponding period of 2021. From the beginning of March until today, a typical supermarket “basket” consisting of 25 products has increased in price by 10.5% based on data collected by the Ministry of Development and Investments and displayed on the e-Consumer digital platform.
It is recalled that there has already been a huge increase of 48.8% in the general index of producer prices in industry (total domestic and foreign market) in April this year compared to the corresponding index in April 2021, against a 14.6% increase in the corresponding comparison of indicators in 2021 with 2020, visible on shelves two to three months later.
A new wave of price increases is expected soon in non-alcoholic beverages, poultry products, meat, dairy, oils, fruit and vegetables, snacks, soon, while basic consumer products other than food, like household cleaners, personal care items and stationery are also expected to see price hikes.
The biggest mark-ups
The biggest price increases are in chicken with the increase in the average price on June 30 compared to March 1 reaching 41%. It is worth noting, however, that two days later (Saturday, July 2) the average price of chicken per kilo had returned to normal, i.e. at 3.73 euros.
The products that are directly affected by the war in Ukraine follow, namely flour and sunflower oil. Specifically, the price for a kilo of branded flour on June 30 had reached 1.7 euros, increased by 33% compared to March 1. The increase recorded by sunflower oil during the same period amounted to 29.3%. At the same time, apples show a 26% increase (obviously due to the season), while eggs show a 24% increase. The increase in corn oil reached 20%, feta cheese 13.1%, sandwich bread 10.2%, yogurt 7.5%, potatoes 6.9%, olive oil 6.1% and bananas 5 .5%.
The battle for a spot in the basket
With inflation reaching 12% in June from 10.5% in May, branded and generic products are slugging it out for a place in the consumer’s basket.
Households are turning to private label products despite the fact that their prices are rising faster than those of branded products, but they still remain cheaper. The main categories with private label sales growth are still food (legumes, pasta, etc.) and household care products (kitchen paper, cleaning products, etc.).
Given that the national Consumer Price Index that statistical authority ELSTAT will announce on Friday, July 8, will in all probability approach 13%, the makeup of the household basket will not change.
Latest News
September in Greece Winning Tourists Over from US, Germany
Tourists continue to visit Greece off-season into Sept. with the number of inbound travelers up by 6.6% and a 7.9% rise in travel receipts.
Bank of Greece Governor Says EU will Retaliate to Trump’s Tarrifs
The Bank of Greece Governor defended the independence of central banks amid criticism from U.S. President-elect Donald Trump, who had publicly commented on Federal Reserve Chair Jerome Powel
September in Greece Winning Tourists Over from US, Germany
Tourists continue to visit Greece off-season into Sept. with the number of inbound travelers up by 6.6% and a 7.9% rise in travel receipts.
Bitcoin Surges Toward $100K Amid Pro-Crypto Optimism in US
According to Reuters, the cryptocurrency surged to an all-time high, briefly exceeding $96,898 during Asian trading hours.
Greek Driver Violations at a Touch of a Button
Traffic offences recorded in the last five years by Greece’s “Driver Behavior Control System” are now available on Gov.gr Wallet
Milan Tops List of Most Expensive Streets, Athens’ Ermou Holds Steady at 15th Place
In Athens, following Ermou Street is the southern suburb of Glyfada and Tsimiski Street in Thessaloniki.
New Gov.gr Service Enables Secure Reporting of Minor-Related Delinquency
It should also be noted that via the recently introduced initiative ‘Safe Youth’ application citizens have access to specially tailored informative material regarding the safety of children and adolescents
Thousands Strike in Athens Over Soaring Living Costs and Stagnant Wages
Inflation, particularly in food prices, has been crushing Greek households
Greece Overhauls Property Valuation System
Greece plans to launch a revamped property value registry in 2025 and overhaul the way objective values are calculated to enhance tax revenue and improve transparency.
Greece’s New Tax Bill Foresees Tax Relief Beyond Big Business
Tax relief measures in Greece are proposed for freelancers, property owners and farmers, along with 'big business'