Pasta, coffee, mustard, flour… French consumers have been observing rising food prices for several months, and it now seems to be accelerating.
The rise in food prices is mainly due to the global COVID crisis. The pandemic has caused not only raw material prices but also transportation and packaging costs to increase, according to retailers.
However, the price increase of dried fruit is related to bad weather. Last year’s frost damage affected French orchards, reducing the harvest yield. The rise in pasta and semolina flour prices is due to a poor harvest last year in Canada, the largest producer of durum wheat.
The food item most affected by inflation is pasta, with a 14% price increase since last March. This is influenced not only by rising wheat prices but also by increased packaging costs. The price of pulp used in cardboard manufacturing has also risen significantly. Following that is mustard, with an 8% increase, due to a 7.4% rise in the price of sunflower oil used in its production.
Is a shortage to be feared?
No: Currently, products disappearing from supermarket shelves are actually due to consumer behavior. The disappearance of products from shelves is caused by consumer anxiety. Consumers tend to stock up in the current situation, which can cause temporary shortages in stores, but the products are replenished quickly.
Experts believe food inflation will continue. The war in Ukraine has caused a significant rise in energy prices, which is reflected in distribution prices. Manufacturers need energy for the production and transportation of products. Another reason for price increases is that the current prices of some products are based on last year’s grain export prices from Ukraine and Russia. The current geopolitical situation will continue to affect consumer prices in the future. Ukraine continues to plant wheat and corn, but the war may cause difficulties during harvest and transportation.