“The worse is yet to come”. This is the result of Allianz Trade’s study on rising retail prices, published on Tuesday, May 24, 2022. If inflation is already weighing heavily on the finances of French consumers, what will by the end of the year ?
Quoted by France Inter, sector adviser at Allianz Trade Aurélien Duthoit explains: “The prices of food distributors could increase by 8.2%, which would lead to an increase in annual food expenditure (in France) of 224 euros per person this year, for a total reaching 2,963 euros”.
The study highlights the fact that manufacturers in the agri-food sector have increased their prices by 14% since the start of 2021, while this amount is 6% for food distributors. As a result, less than half of the increase in production prices has been passed on to customers so far.
This therefore suggests that consumers’ shopping budgets will continue to soar. “For some, rising food prices will only weigh on their ability to save. For others, it could further threaten their ability to meet their basic needs,” said Aurélien Duthoit.
If French households should pay up to 224 additional euros per person this year, the situation is even more worrying among our European neighbors. Indeed, the average is 243 euros for the countries of the continent, with a maximum increase of 254 euros in Germany.