The analysis firm IRI France has published a study on the evolution, in August, of the prices of a range of consumer food products. The palm of the increase goes to frozen meats: +28.74%.
This is probably the most unexpected increase. According to the firm IRI France, last August, the food products whose prices increased the most (compared to August 2021) were frozen meats. Their prices increased by 28.74%. In second position, we find minced steaks (+21.82%), followed by pasta (+19.78%).
IRI France has established that, over one year, inflation in consumer food products is close to 8%. It stands at 7.90% on a panel of products, analyzed for our colleagues from the World. In July, inflation was already at 6.71%. “The sharp increase in meat prices is linked to the increase in the price of cereals, which constitute the basic foodstuffs of animals”, comments Emily Mayer, consumer expert at IRI France.
“Inflation on pasta already noticeable in September 2021”
The increase in the price of pasta is the consequence of the conjunction of several events. “Inflation was already noticeable at the start of the 2021 school year, continues Emily Mayer. First of all that summer there were the severe droughts in Canada, which generated low harvests of durum wheat. did not fall, prices soared. Then, in February, there was the war in Ukraine, which aggravated the inflationary trend”.
For the head of the study, “prices will continue to increase because the context is exceptional”. The reason: “the discussions between manufacturers and distributors, which generally end on March 1, have never stopped. And as they take place regularly, they adapt to the evolution of the costs of raw materials. And as they increase steadily…”. For Emily Mayer, “we should therefore end the year with inflation around 9%”.
The most inflationary budget brands
The study also highlights price increases where they were not necessarily expected. “National brands are less affected by inflation than 1st price brands”. Over one year, the prices of the latter increased by 12.87%, while those of private labels increased by 10.34% and those of national brands by 6.82%.
“The more a product is marketed, the more latitude there is to play on prices. However, on the first prices, there is no latitude. They are more inflationary insofar as these are products whose prices are exclusively based on manufacturing costs. There, we cannot play on advertising or marketing costs”.
Up to 24% different between brands
Since the emergence of high inflation on the prices of consumer products, supermarkets, food in particular, are waging a price war. The IRI study provides proof of this. “The gap between the two most expensive brands and the two least expensive brands is close to 24 points”, we can read.
If it takes care not to name the brands concerned, it provides proof that the brands do not have the same strategy. “The different brands do not all affect the prices of product inflation in the same way”, agrees Emily Mayer. Sign that the strategies are not the same. What the most dynamic brands are quick to make known.
The French are cutting back on food purchases
An OpinionWay survey for Younited, the European leader in instant credit, shows once again that, in the face of inflation, the French have cut back on food expenditure. Thus, two thirds of them (64%) say they have changed their buying habits, both by reducing their food shopping bills (for 46%) and that of energy (40%). Slightly less than one in two French people (41%) would give up buying branded products and 48% would turn to entry-level products or private labels. The constrained expenses crystallize all the concerns. A very large majority (89%) believe that the price of groceries will continue to rise.