Prices at the top since 1984
Inflation in Italy, accelerates the ‘shopping cart’ in July. The prices of food, household and personal care goods go from + 8.2% to + 9.1%, those of high-frequency purchasing products from + 8.4% to + 8.7%. This is an increase, according to Istat, which has not been observed since September 1984. Core inflation, net of energy and fresh food, accelerates from + 3.8% to + 4.1% and that at net of energy goods alone, from + 4.2% to + 4.7%. On an annual basis, the prices of goods slow down (from + 11.3% to + 11.1%), while those of services accelerate (from + 3.4% to + 3.6%); therefore, the negative inflation differential between the latter and the prices of goods decreases (from -7.9 in June to -7.5 percentage points).
The cyclical increase in the general index is mainly due to the prices of services relating to transport (+ 2.7%), processed food (+ 1.5%), non-durable goods (+ 0.6%) and is slowed only by the decrease in unprocessed food prices (-1.7%). According to preliminary estimates, the harmonized index of consumer prices falls on a monthly basis by 1.1%, due to the summer sales, which the national consumer price index does not take into account, and increases by 8.4. % on an annual basis (from + 8.5% in the previous month).
CUSTOMERS – “The still very high inflation realizes a ‘massacre’ on the pockets of consumers and it will have very heavy effects on the national economy “Codacons says in a note, commenting on the data released today by Istat. According to the association, the inflation rate translates to the same consumption in higher spending equal to +2,427 euros per year for the ‘typical’ family, which reach +3,152 euros per year for a household with two children, considering the total consumption of a family. “We are in the presence – comments the president of Codacons, Carlo Rienzi – of a real national emergency which will have heavy effects on the economy and on the economic conditions of families “.
“Inflation is still very high in July with the growth rate of retail prices reaching the highest levels of the last 38 years,” Assoutenti said in a note, commenting on the worrying data on inflation released today by Istat. “The alarm continues on the food front, which also recorded a record surge in July, even increasing by 10% compared to last year. This means that a family with two children, just to eat, must take into account a greater expense in an average of +749 euros per year, an unprecedented sting “, comments the president Furio Truzzi. “The government – he continues – must intervene abandoning the bonus policy, immediately cutting the VAT on primary goods such as food, so as to lead to an immediate reduction in retail prices and direct benefits for families “.
“The increase in the price of food products and the shopping cart is a catastrophe that will definitively bleed the housewife from Voghera who goes to the market every day and the families most in difficulty”. This is what Massimiliano Dona, president of the National Consumers Union states, in a note. “The government – he continues – even if in office only for the handling of current affairs, can and must intervene, being a national emergency that requires an urgent action. The next 14.3 billion of the bis aid dl must be destined to curb galloping inflation, otherwise any other intervention, such as the 3-month advance of the revaluation of pensions, is destined to be burned by the rise in prices and the reduction of power purchase of families “concludes Dona.
CONFESERCENTI – “Inflation and uncertainty weigh on household consumption and on the margins and sales of businesses: despite the slight slowdown, in fact, the upward trend in prices, with all its dangers, continues to affect purchasing behavior and spread to all sectors“Confesercenti writes in a note commenting on the data released today by Istat on consumer prices in July.
“The shopping cart, that is the goods with the highest purchase frequency, increased by 9%: according to our estimates, in the second half of the year there could be a reduction in consumption of the order of approximately 3 billion due to price increases. The risk of falling into an austere autumn cannot be underestimated, which is why the line, rightly drawn by the Government, to intervene to calibrate energy prices and support families must absolutely be continued, with all the necessary interventions aimed at supporting consumption and curb the inflationary spiral “, concludes the note.
FEDERDISTRIBuzione – “The shopping cart, as per our expectations, after months of growth at a rate lower than that of the general inflation index, has accelerated its course, gradually widening the gap” writes Carlo Alberto Buttarelli in a note. Director of Studies and Relations with the Federdistribuzione Sector. “We continue to record an increase in the production costs of consumer goods on which various negative externalities impactincluding the increases in energy goods and raw materials, in addition to the heavy effects of drought, which weigh heavily on the Italian agri-food supply chains “.” Even in this moment of political transition, it is more urgent than ever to continue to concretely support and with all possible actions, businesses and the purchasing power of families, in particular those of low-income groups with children “, adds Buttarelli.
“In recent months – he continues – the Modern Distribution companies, with a great sense of responsibility towards families, have managed not to unload on consumption between 2 and 3 inflation points recorded during the purchase phase. This situation is less and less sustainable by businesses, as it puts their economic resilience at risk. Therefore, the increase in prices is gradually being discharged onto the shopping cart, and in a period of great economic uncertainty, families will increasingly seek savings and convenience. it could compromise consumption in the coming months, in particular of quality agri-food products, the flagship of the Italian supply chains of excellence “, concludes Buttarelli.