Monthly increases in 18 staples, decreases in 25 and no change in just two categories (canned meats and juices), the Consumer Protection Service's Price Watch for August this year showed.
According to the Service, the assessment made for the month of August shows that the containment of the increase in the inflation rate recorded in July by 2,1% compared to June by 2,7% continues, with the increase in August limited to 1,5, XNUMX%.
The containment of growth is due to the fact that the large increase recorded by food was offset by decreases in petroleum products by -1,24% (-2,18% vs. August 2023) and electricity by -0,6% (-1,94, 2023% compared to August XNUMX).
The moderate increase in inflation in August is also reflected in the prices of most product categories recorded by the Service's observatory, except in the food sector, which recorded inflation of 2,38% in the January-August 2024 period compared to the same period last year.
This was a result of increases in agricultural products by 4,5% compared to the previous month and by 6,8% compared to last August.
As shown in detail in the Service's Table with the price indices for the month of August, in a total of 45 categories of basic products, 18 categories recorded an increase, of which ten at a rate of more than 1,0%, 25 categories showed a decrease and two categories ( canned meat and juices) no change.
More significant increases compared to the previous month were recorded by vegetables and greens by 41,7% (+14,2% compared to August 2023), fresh meat by 4,1% (+2,6% compared to August 2023), the gas cylinder by 3,3% (+4,4% vs. August 2023) and vegetable cooking fat by 2,4% (+1,0% vs. August 2023)
Sugar also recorded a monthly increase of 2,1% (-18,7% compared to August 2023), instant coffee by 1,9% (-3,7% compared to August 2023), pulses by 1,7% (+9,3 .2023% compared to August 1,7) and rice by 1,9% (+2023% compared to August XNUMX)
A decrease compared to the previous month was registered by 25 categories, the most important of which were frozen molluscs/shellfish by 11,2% (+22% compared to August 2023), frozen breaded & precooked fish by 4,5% (-12,3% compared to August 2023), frozen fish by 4,1% (+1,4% vs. August 2023) fresh fish/molluscs by 4,8% (-18,2% vs. August 2023) and baby milk by 4,1% (-4,0% vs. August 2023).
Significant decreases were also observed in laundry detergents by 1,9% (-3,0% vs. August 2023), eggs by 1,6% (+1,5% vs. August 2023) and oil by 1,7% (+ 13,3% compared to August 2023).
The differences between more expensive and cheaper basket
As mentioned, 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 19/9/2024 to record the prices of 55 common and very important products for the household in 3 supermarkets of Nicosia.
As can be seen in the comparative Observatory, the difference in the value of the most expensive basket from the cheapest amounts to €10,36 (4,5%) or €241,93 against €231,57, with the middle basket at €240,08 .
Additionally, the benefit to the consumer from the application of the zero VAT rate to the 11 products covered by the measure amounts to between €7,20-€7,40 for a total of approximately €95 worth of purchases, depending on the supermarket.
In the meantime, the Service emphasizes once again that it is intensively continuing the controls regarding the implementation of the measure of the zero VAT rate, recording prices of 88 products from all categories that were approved in nine different supermarkets, in 58 points of sale throughout Cyprus.
As mentioned, the current assessment of the implementation of the measure, based on the results of the audits, is that this has a positive effect on prices and, by extension, on inflation, as long as prices are contained.
For about 65% of products, prices have remained at the levels of May 5, when the measure was implemented, while for an additional percentage, prices have decreased to a lesser extent. According to the results of the last audit, carried out on 18/9/2024, compliance is universal with deviation rates for milk, sugar, coffee, baby diapers at 70-100% and for the rest of the products at a lower percentage.
Source: KYPE
