Price plunge: March sees drop in food costs

Food prices dipped in March, according to data from Statistics Sweden (SCB). Notably, they were lower compared to the same month last year, marking the first such decline since summer 2021.

Food prices are falling. Stock image.

Food prices are falling. Stock image.

Foto: Chris Anderson/TT

Ekonomi2024-04-12 09:01

In a reversal of recent trends, food prices in Sweden dipped in March compared to February. Statistics Sweden (SCB) reports a 0.7% decrease in average prices for food and non-alcoholic beverages.

This shift is driven primarily by falling food costs. Notably, food prices dropped by 0.8% in March compared to February, marking the steepest decline between two months since April 2023. 

SCB price statistician Caroline Neander highlights this in a press release, stating, "Food prices typically rise in March compared to February. This significant decrease is unusual."

Fruits and vegetables led the price decline in March, with drops of 3.5% and 1.6% respectively. Oils and fats also saw a decrease of 1.8%, while meat prices fell by 1.2%.

Looking at the year-over-year trend, food and non-alcoholic beverages continue the positive trend, with a combined price decrease of 0.7% since March 2023. 

Even more significantly, food prices alone have dropped 1.0% year-over-year. "This is the first annual decrease in food prices since July 2021," emphasizes Neander.