EU inflation heats up

by Editor
Monday, May 26, 2008

Rising food and commodity prices have been a hot topic among the European Union’s governing bodies.

The EU27 Harmonised Index of Consumer Prices (HICPs) increased for all items in March by 3.7% year-on-year (European Market Survey).

The index was up 2.5% in the UK, while the highest inflation was recorded in Latvia, Bulgaria and Estonia.

Average food prices in the EU27 increased 6.9% year-on-year, with the highest inflation rates again recorded in Eastern Europe.

Dairy product prices increased the most – up almost 15% year-on-year, followed by bread and cereals, at 10.3%, oils and fats, at 9.9% and fruit at, 9.6%.

In contrast, meat inflation was lower, at 3.9%, while inflation for fish and seafood was 3%, and vegetables only 1.8%.