Filenews 19 April 2024
In 26 product categories, the Consumer Price Observatory recorded an increase in prices, while in 19 categories it decreased.
In conclusion, the assessment, which is made for the month of March, shows that the decrease in inflation from 1.6-1.8% in December to February to 1.2% in March is reflected in the containment of inflation in the food sector, which reached 2.14% in the period January-March 2024 compared to the same period last year and compared to 2.36% in the period January-February 2024. This moderation is mainly due to the decrease recorded in agricultural products by 2.09% compared to the previous month.
As shown in detail in the Table of the Service with the price indices for the month of March, out of a total of 45 categories of basic products, 26 categories recorded an increase, of which 10 at less than 1%. Specifically, in addition to the 7.6% increase recorded in fresh vegetables and greens, moderate increases were recorded in cold cuts by 4.4%, frozen burgers by 4%, legumes by 2.7%, frozen breaded and precooked fish by 2.3%, oil, breakfast cereals and sanitary napkins by 2.2%, respectively, and baby food by 2%. This was followed, at much lower rates, by increases in toilet paper by 1.8%, detergents and fabric softeners by 1.6% and 1.4%, respectively, and fresh meat by 1.3%.
The remaining 19 categories of the Observatory recorded a decrease, with the main one being the continued significant decrease in frozen molluscs/shellfish by 22.4% and sugar by 6.2%, vegetable cooking fat by 3.6%, frozen fish by 3.3%, flour by 2.6%, eggs and other products at lower percentages.
In the context of continuous monitoring of the market and recording of trends, as they evolve from international and domestic conditions, the Service has again proceeded on 16/04/2024 to record prices of 47 common and very important for the household products in three hypermarkets of Larnaka. As shown in the comparative Observatory, the difference in the value of the most expensive basket from the cheapest amounts to 11.7% or €210.60 compared to €188.54 with the middle basket ranging to €206.41. In addition, the benefit to the consumer from the application of the zero VAT rate to the 11 products covered by the measure amounts to between €6.55-€7.85 in total purchases worth approximately €80-€90 depending on the supermarket.
It is reiterated that the Consumer Protection Service continues intensively the controls on the implementation of the zero VAT rate measure, recording prices of 88 products from all categories approved in nine different supermarkets, in 58 points of sale all over Cyprus. The current assessment from the implementation of the measure based on the results of the checks is that it has a positive effect on prices and consequently on inflation, since prices are contained and in about 70% of products prices have remained at the levels of 5 May, when the measure was implemented. According to the results of the last audit conducted on 15/04/2024, compliance is universal with deviation rates for milk, eggs, sugar, coffee, baby diapers and vegetables at 70-100% and for other products at a lower rate.
The detailed data of the Observatory are provided on the website of the Consumer Protection Service.
