The most recent industry statistics have not yet accounted for the impact of the salad shortage. But they do demonstrate that prices continued to rise even before the tomato shortage.
According to closely observed industry data, grocery inflation in the United Kingdom increased to a new record high of 17.1% in February.
According to Kantar Worldpanel, the price of a family’s regular shopping basket could increase by £811 per year as a result of the increase over the past year.
A slowdown in food price increases in December was supposed to signal a turning point in rising living costs.
However, Kantar later revealed that temporary Christmas discounts were primarily to blame. As the four largest retail chains struggle to retain market share against discounters and other cheaper competitors.
Due to the appeal of lower own-label groceries. Aldi achieved a record market share of 9.4% during the time, according to Kantar.
Tesco, Sainsbury’s, Asda, and Morrisons have expanded their value offerings in response to the change in consumer behavior resulting from the broader cost of living crisis.
Since the Russian invasion of Ukraine, the price of food and a variety of other common goods has risen significantly.
Many commodity prices, such as wheat, have significantly increased due to the conflict.
Unilever, the company responsible for a variety of commonplace items such as Marmite and Magnum ice creams, has been among the manufacturers who have warned that price hikes will continue.
Producers, a component of a complex supply chain, continue to contend with rising energy costs and other expenses.
It remains to be seen whether the shortage of salad items. Which has prompted the majority of supermarkets to restrict sales, will become a significant inflationary headwind in the future.
Kantar stated that the issue occurred outside of its reporting window. But it anticipated revealing an impact in its subsequent report.
Fraser McKevitt, the company’s head of retail and consumer insight, said: “Shoppers have been confronted with persistent price increases for some time, and this February signals a full year since monthly grocery inflation surpassed 4%.
“This is having a significant impact on people’s livelihoods.
“Two-thirds of people are concerned about food and drink prices, ranking higher than strikes in the public sector and climate change, according to our most recent research, making it the second most significant financial issue for the public after energy costs.
“One-quarter of Americans report financial difficulties, up from one-fifth at this time last year.
“The figures speak for themselves.”
