Shrink inflation is getting worse
Dishwashing detergent, sweets, sour cream, cottage cheese, kefir and camembert cheese have also become smaller packages for certain brands, while the prices have remained unchanged – according to an article in Portfolio. This phenomenon, known as “shrink inflation”, is becoming more common and is causing concern among buyers.
The essence of shrinking inflation is that while the packaging of products decreases, prices do not change. Therefore, consumers pay more for a unit of product, even if the packaging and brand remain the same. In Hungary, stores with sales revenue of at least HUF 1 billion must indicate from January 2024 if the packaging of a product is reduced. This measure serves the purpose of making customers more informed about the contents of the products, the Index reports.
Based on the April data, the following examples illustrate contractionary inflation:
- Dishwashing detergents: The packaging of washing-up gels decreased by 14-15 percent, while that of tablets decreased by 4-7 percent.
- Cheeses: Tihany camembert cheeses have become 4 percent smaller.
- Dairy products: Milli Caucasian kefir decreased by 11 percent, while curd dessert decreased by 40 percent.
- Sour cream and drinks: The 20 percent Hungarian sour cream of the Alföldi tej brand has 30 grams less, and the 1-liter Alpro almond drink contains only 750 milliliters.
Related news
NGM: consumer trust and effective enforcement in focus at the European Consumer Summit
Strengthening consumer trust, guaranteeing the security of the digital market…
Read more >Only two EU countries have higher inflation than Hungary
The European Inflation Outlook of the Private Banker compared the…
Read more >Consumer prices in the euro area rose by 2.2 percent in April, following March
The annual inflation rate in the euro area was 2.2…
Read more >Related news
Viktor Orbán: we will introduce margin reduction for new products as well, if necessary
The margin regulation must be maintained because people must be…
Read more >Healthy meat products rich in fiber and protein have been developed in Debrecen
A new product line consisting of health-promoting, fiber- and protein-rich…
Read more >German retail sales fell month-on-month in April
In Germany, retail sales fell by 1.1 percent in real…
Read more >