- Olive oil’s price increased by 56% over the past year
- Wholesale market shows signs of price reduction
- Coffee prices are also on the rise, affecting the consumer market
- Retailers predict further price hikes due to increased VAT
Olive Oil Prices: Current Trends and Outlook
In recent years, olive oil has emerged as a staple in Greek kitchens and a major driver of food inflation. The price of olive oil has soared by 56% compared to last year and by 137% over the past three years. However, early signs in the wholesale market indicate a potential price drop. According to Manolis Giannoulis, President of the National Interprofessional Organisation of Olive Oil, the producer price has gradually decreased from historic highs of 9.5 euros per litre to about 7 euros.
Production appears to be on an upswing compared to last year. However, a significant obstacle for the industry is a 40% reduction in consumption. “These circumstances could further pressure prices downward,” Giannoulis explained.
Coffee Prices Set to Climb
Coffee lovers may find their favourite beverage becoming more expensive by September. The wholesale market has already seen a 40-45% rise in the Arabica variety and a 65% increase for Robusta coffee. “If this upward trend continues on the stock markets, coffee prices will inevitably rise,” said Tasos Giangoglou, President of the Hellenic Association of Coffee.
Market insiders predict substantial price hikes at the supermarkets as well. Espresso pods might increase from 5 euros to 6, while ground espresso could rise from 6 to 7.2 euros. Similarly, Greek coffee prices are expected to jump from 3.9 to 4.7 euros.
Restaurateurs, facing a VAT hike of 24% on coffee served, are also forecasting new price increases if raw material costs spike.
With these changes on the horizon, consumers will likely feel the pinch in their grocery bills. Staying informed and prepared for these economic shifts in the food and beverage sector is essential.
