The increase in the price of food is slowing down significantly this year
This year, the development of food prices will no longer drag, but curb inflation in Hungary. Overall, we continue to pay more at the cash registers in stores than a year earlier, but the price increase is expected to be lower than the annual average inflation, it was revealed at Erste’s press conference.
This year, food prices in Hungary will continue to rise, but after the significant increase in prices experienced in the last two years, the rate of increase will return to a consolidated, single-digit level. Agricultural producer prices may increase by 2-4 percent annually, while the domestic prices of the food industry may increase by 3-5 percent, and the retail price of food may exceed the level of a year ago by an average of 3-4 percent, Zoltán Fórián of Erste Agrár said at the bank’s press conference. Center, -Analysis leading agricultural expert.
After last year’s decline, the volume of retail trade shows a smaller increase again in 2024 thanks to the more moderate rise in food prices this year. However, customers’ wallets still can’t handle everything they used to, which is why department stores’ cheaper, own-brand products and customer loyalty programs are experiencing a renaissance. Due to solvency limits, processed foods with a higher added value fall out of the basket one by one. Bargain hunting creates a kind of controlled consumption structure: many people don’t buy what they want, but what they can afford.
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