Prices at retail stores rose by an average of about 25.8% y/y in November, following a 26.1% increase in October, according to the cyclical report titled “Retail Store Price Index,” authored by UCE Research and the Higher Schools of Banking (WSB). All of the 12 categories surveyed have become more expensive at double-digit rates ranging from 16.5% to nearly 40%.
Recently, of the 12 monitored categories, all scored double-digit increases. For the umpteenth time in a row, fatty articles became the most expensive, up 37.2% y/y. Among them, baking margarine went up the hardest, by 49.8% y/y. Meat and household chemicals are also seen at the forefront of the price hike, up 36.7% and 33.6% y/y, respectively. In these categories, poultry and toilet paper saw the strongest increases – up 49.5% and 55.5% y/y. Next are so-called other products – 30.9% y/y. Here, dog food jumped the most – 44.9% y/y. Also high on the list is dairy products – 29.8% y/y. It is followed by dry goods – 27.7% y/y. Within them, sugar in particular became more expensive – by 50.6% y/y. On the other hand, the least of all categories increased the prices of beverages, food additives, fruits and vegetables, the report reads.
As Hubert Gessinski of the WSB in Warsaw noted, as the Polish economy has entered a wage-cost-shopping spiral, consumers must accept that each subsequent purchase in the coming days and weeks will become more expensive.
“It can be directly inferred from the data presented that there will be a slow slowdown in prices after December, which will be directly influenced by the reduced consumption of the first quarter of next year.” – He added.
UCE Research reported that fat products were the most expensive in November for the second consecutive month, up 37.2% y/y. The second most expensive category was meat with an average increase of 36.7% y/y. The third position in this list is held by household chemicals with an average increase of 33.6% y/y.
The least expensive of all categories is beverages, up 16.5% y/y (up 14.8% in October). Ahead of them in the list are food additives, fruits and vegetables – 18.9%, 20% and 20.1% y/y, respectively (a month earlier – 14.1%, 22.5% and 22.5% y/y), it was also reported.
“Price increases in these categories are characterized by the smallest dynamics due to increased production of Polish fruits and vegetables, and thus – increased market supply. In addition, November was the last month of this year’s agricultural harvest, so we were faced with a significantly increased supply. This directly affected the drop in prices for such goods on wholesale markets. Unfortunately, however, this did not translate into lower prices on store shelves, only – into increased margins for retailers,” Gessinski concluded.
A total of more than 32,000 retail prices from almost 41,000 stores belonging to 64 retail chains were collated. The survey covered all discounters, hypermarkets, supermarkets, convenience and cash&carry chains on the market reaching the majority of consumers in Poland with their offer.
Source: UCE/WSB and ISBnews
