Prices in supermarkets, grocery stores, fruit shops, butchers and fishmongers eased families’ pockets in August. Food inflation moderated to 2.5% last month, a low in almost three years. Exactly, since October 2021, as confirmed by the INE (National Institute of Statistics) this Thursday.
For its part, the general CPI (Consumer Price Index) fell by five tenths, from 2.8% in July to 2.3% in August, the lowest interannual rate since June 2023. The INE explains that this moderation in the CPI is due to the drop in the prices of consumer products, fuels, which increased in August 2023 and, to a lesser extent, to the lower increase in the prices of foodstuffs, some of which even lowered their prices in August, such as legumes and vegetables, milk or flours.
The CPI for food decreased by 6 tenths compared to its interannual rate. In other words, food became 2.5% more expensive in August compared to the same month last year. In July, this increase was 3.1%. In June, 4.2%. “This decrease allows food inflation to be brought closer to the general index, thanks to the support measures adopted,” the Ministry of Economy defends.
Olive oil, which has been rising at dazzling rates (even above 70%) for months, became 25.1% more expensive in August, the lowest year-on-year increase since May 2023. In monthly rates, comparing July prices to July prices. In June, oil became 1.7% cheaper. This is the fourth consecutive month of decline for the liquid “gold.”
Core inflation, which specifically excludes energy and food from its calculation, also continued to fall to 2.7%. “The continued reduction in inflation continues to reflect the ability of the Spanish economy to reconcile the highest economic growth among the main countries in the eurozone with a moderation in prices,” the government said.
“These factors, together with the positive development of the labour market, help to improve the purchasing power of citizens and the real income of households,” they conclude.
