Food prices continue to rise

Annual inflation falls to 3.7%, about the same level as in November 2021

11.10.2023 - 12:55

Grocery prices rose the most in the latest inflation figures from August, reports Statistics Faroe Islands.

The Consumer Price Index (CPI) measures inflation as experienced by Faroese households in their daily living expenses.

The CPI consists of 12 main categories of goods and services. Although the annual inflation rate has come down, higher prices have been registered in most categories, with ‘food and non-alcoholic drinks’ (groceries hereafter) prices rising the most.

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Prices went up across all groceries subcategories from August 2022 to August 2023.

Grocery prices rose by 0.4 percent from May to August 2023. These prices have risen, on average, by 2-4 percent per quarter since Russia’s full-scale invasion of Ukraine in February 2022.

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Prices of coffee, tea and cocoa saw the sharpest rise, going up by 18 percent in the past year.

Vegetables are now 13 percent more expensive than a year ago, fruit prices went up by 11 percent and bread and cereals are up by just over 10 percent.

Fish, milk, cheese and eggs have become relatively cheaper for households in the past year, compared to the 8-percent average price hike across the groceries category. The price of fish products increased by 4 percent in the past year, while milk, cheese and egg prices went up 3 percent.