The moderation of food costs anticipates a slowdown in prices in six months

The moderation of food production costs anticipates a slowdown in the CPI growth of the sector in Spain in the next six months, according to estimates by the Barcelona Chamber of Commerce.

Thomas Osborne
Thomas Osborne
31 January 2023 Tuesday 06:39
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The moderation of food costs anticipates a slowdown in prices in six months

The moderation of food production costs anticipates a slowdown in the CPI growth of the sector in Spain in the next six months, according to estimates by the Barcelona Chamber of Commerce. The institution's research service has analyzed that in recent months the lower costs have already affected the CPI for unprocessed food.

"If the trend in costs at origin falls, in a temporary period of about six months the prices of unprocessed food will fall and then processed food," explained the director of the research service of the Barcelona Chamber of Commerce. The economist has specified that in recent months, energy has stopped contributing to the increase in inflation and it is food that explains a good part of the rise.

With data from Funcas, the Chamber has estimated that this year savings in Catalonia will sink to its historical minimum as a result of the loss of purchasing power of families. "The stored savings have been exhausted and it is possible that they will continue to drop," said Rovira.

Regarding the economic forecasts, the president of the Chamber, Mònica Roca, has insisted that the rescission in Catalonia be ruled out despite the lower growth expected for 2023. The estimate is that GDP will increase by 1.8% this year compared to upward of 5% last year. Job creation -although it came to a standstill in December- will continue this year. The forecast is for the unemployment rate to drop to 9.1%, from 9.4%. The employed will increase by 1.5%, according to the institution's current situation report.