Top Quotes From Economists At ING

Why food inflation is rising ?: Top quotes from economists at ING

“There are many reasons why food prices are going up …”, ING economists remarked.

“Food inflation continues to rise. There are many reasons why food prices are going up …” states ING.

Here are the top 10 comments from ING economists:

  1. “Food manufacturers increase prices through higher costs, but the level of food inflation varies considerably between countries. Some EU consumers are already looking for cheaper options in supermarkets. The longer food companies increase their prices, the greater the chance that consumers will eventually trade down.”

  2. “The global demand for food remains strong, but the supply side is going through turmoil because farmers all over the world have seen their input costs go up. How much these input costs have gone up depends very much on the region and the type of crop that the farmers have. cultivate or the type of animals they raise. “

  3. “Rising energy and fuel bills are a major contributor to higher costs in agriculture.”

  4. “Further down the supply chain, food manufacturers have to contend with higher prices across a variety of key inputs, ranging from agricultural goods and food ingredients to packaging, energy and transportation.”

  5. “Although direct energy consumption is usually only a small part of the total cost to food manufacturers and retailers, higher energy prices still flow to them through the food products and transportation services they purchase.”

  6. “Input costs make up the majority of the costs for food production and retailers … and the current prices of agricultural commodities and energy do not provide much relief.”

  7. “Food commodity prices are at a very high level.”

  8. “Non-Western countries hit hardest by food inflation: This is not good news for consumers, especially in non-Western countries. Out of the G20 countries, Turkey and Argentina have the highest levels of food inflation with food prices standing at 60 -70% in March, slightly above general inflation in these countries. “

  9. “Consumer demand for fruit, vegetables, meat and dairy has been more responsive to price increases compared to staple products such as frying oil or cereal products.”

  10. “Food inflation has not yet reached a turning point. Demand is responding fairly to price increases …,” added the ING economist.