They warn of increases that add pressure to inflation

They warn of increases that add pressure to inflation

The fact is that, as indicated by the sector, The increase in the price of property in recent months could be transferred to prices in the near future. For example, according to data released by the Chamber of Meat Industry and Commerce (CICCRA), in October the average price of The standing property sold in the Cañuelas market increased 22.4% monthly.

“With this figure, in the last four months the value of the live kilo accumulated an increase of 127.9% and in the last twelve months, the growth rate was higher than the general level of wholesale prices for the first time in fourteen months (209.9% vs. 153.7%)”, the entity explained.

And, although part of those increases in the price of the property have already been transferred to the counter during Octobera percentage could still be reflected in November data. In fact, in the first days there were already some increases in the value paid by consumers and new increases in meat are not ruled out in the coming weeks.

The price increase is being transferred to the counter. At first, it seemed that the public was not going to validate these increases, but today we are believing so. Above all, because the price of the property is remaining firm and this means that the slaughterer cannot absorb this increase in prices. So, it is slowly settling into the counter and it is surely going to stay“, he explained to Ambit Miguel Schiaritidirector of CICCRA.

Some increases were already observed in the October measurements. For example, the consulting firm C&T estimated that inflation slowed down last month and reached 10% after two months (9.6%), but they warned that Prices “accelerated” as the month went by, especially after the rise in financial exchange rates.

In the area where this acceleration was most felt as the month progressed was in food and drinks. “In this behavior, meats and vegetables played a key role., just like non-alcoholic drinks more about the end of the month. In any case, the greater rate of increase was general,” the firm explained.

Meanwhile, the consulting firm indicated to this medium that the increases in the price of meat continued in the first days of November: “In the first week inflation was quite strong, not only in food.”

Along these lines, the Eco Go survey For the first week of the month it registered a variation of 5.1%, marking an acceleration of 2.8 pp compared to the previous week. Therefore, they estimated that “inflation of food consumed at home in November would reach 13.2% monthly.” “This estimate considers a projection of between 1.5% and 3.5% weekly for the remainder of the month,” they detailed.

When analyzing the factors that explained the strong increase, the consulting firm stated: “Meats recorded a strong jump driven by the variation in beef (6.4%) and pork (10.3%) due to the update of the price of corn and soybeans and the limitations on the import of inputs, which affected production.

To try to contain increases in meat, the Ministry of Commerce renewed until the end of the month the price agreement for popular cuts in butcher shops and supermarkets. In this way, the seven cuts that are within the “Fair Prices” program increased by 10% in relation to the value they had maintained since the end of September, when the last renewal was carried out. The cuts included in the program are the roast, buttock, matambre, vacuum, skirt, shoulder and roast tapa.

Source: Ambito

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