Facts: The price increase in numbers
Food prices, measured on around 43,000 items in the large chains, decreased by 0.1 percentage points in August, compared to July.
Compared to prices in August last year, food prices increased by 7.9 percent.
Since January 1, 2022, when prices began to rise, the increase is 21.5 percent for food.
Matpriskollen is a company that runs an app for consumers and collects food prices from the various chains. Consumers can use the app for free to compare prices and offers. The company is independent and finances its operations by selling data on prices and campaigns as analysis data.
Source: Matpriskollen
After several months of rising or unchanged food prices, they fell slightly in August. Compared to the month of July, food prices are down 0.1 percent, according to Matpriskollen’s compilation of regular prices for around 43,000 products at the big chains.
Above all, dairy products have decreased in price, says Ulf Mazur, CEO and founder of Matpriskollen.
— It reduces what would otherwise have been a much larger price increase. And in dairy, there will probably be continued price pressure going forward.
The price development in the last month and the last year in percentage. Not covered
In addition, there are often long lead times in the grocery trade, which means that many producers are still experiencing delays after the pandemic and the outbreak of war in Ukraine, says Mazur.
— We will continue to see delays. There are continued raising needs out there.
Several producers do not have cover for their costs at the moment, says Mazur, because they have not been able to fully compensate for an increased cost situation.
— They have to raise the prices a little more. This speaks for continued price increases during the autumn and beginning of winter.
Weak crown a threat
The biggest threat to a lower rate of price increase is the weak krona, says Ulf Mazur.
— Half of everything we eat is imported. When the krona becomes weaker, it puts a lot of pressure. The same product becomes much more expensive, regardless of what the producer does to keep prices down. If you pay in euros, it doesn’t matter. Those costs must be passed on to the consumer.
Of the imported goods, it is above all olive oil that has become more expensive, partly due to poor harvests in Spain.
Changed consumer behavior
But the prices in stores are as depressed as they can be, believes Ulf Mazur.
“No one raises their prices today because they want to make more money.” The merchants are terrified of losing sales.
One reason is that consumers have changed their behavior and are no longer loyal to a store.
— WE think it’s okay to go to several stores and hunt for extra prices. It will continue, and put a lot of pressure on traditional stores.
But consumers need to be prepared that higher food prices are here to stay, says Mazur.
— I think you have to accept the situation, food will be a larger part of the disposable income going forward.