With the cost of food and drink increasing at its sharpest rate since 1980, the prices of many everyday food items have surged over the past 12 months. One reason for the sharp increase is the Russian invasion of Ukraine, which has pushed up the cost of fertiliser and animal feed due to the impact on grain supply from the region.
That has seen the price of meat rise around the world, while the knock-on effect to oil production in the regions has also hit the price of sunflower oil and other fats. The result is that items including milk, vegetable fat and butter are among those that have seen the steepest rises in price.
Food and drink prices have also been affected by the recent weakness in the pound, which has caused imported products and ingredients to be more expensive. Karen Betts, chief executive of the Food and Drink Federation, said: “Food and drink manufacturers continue to do everything they can to keep product prices down, but huge rises in ingredient, raw material, energy and other costs mean they have no choice but to pass some price rises on.”
