Irish shoppers are set to face even more financial strain as grocery inflation in the country has reached its highest point in recent years. According to a report, the cost of groceries has surged, with prices of products like meat, vegetables, and dairy skyrocketing in the past few months. The inflation has been attributed to various factors, including the ongoing pandemic, supply chain disruptions, and Brexit. As a result, Irish consumers are struggling to make ends meet, with many facing the difficult choice of either cutting back on essentials or dipping into their savings. In this article, we will explore the impact of grocery inflation on Irish households and discuss potential solutions to help alleviate the burden on consumers.
Retail analysts Kantar have reported that grocery prices in Ireland have risen by almost 17% over the last year, resulting in the highest level of inflation ever recorded. Within the three months leading up to March 19th, supermarket food prices increased by 16.8% compared to the same time period in the previous year. This could potentially result in the average annual grocery bill increasing by €1,211 if shopping habits remain unchanged. However, take-home grocery sales increased by 9.5% over the 12-week period, due to shoppers returning to the stores more often and an average price per pack increase of 13.9%. In addition, Kantar found that shopper visits grew by 13% year-on-year, which is the highest level since March 2020. These increased footfalls were partly due to a month of celebrations, including Mother’s Day, St. Patrick’s Day and the Irish rugby team winning the Six Nations Grand Slam. Sales of Guinness also increased by 6.7%, with 1 in 10 Irish households purchasing the beverage in March. Furthermore, shoppers stocked up on Easter essentials with a growth of an additional 20% on Easter chocolate, resulting in an 86% increase in sales for large eggs, equating to shoppers spending an additional €3.8 million.
As Irish shoppers reel from substantial increases in grocery prices, there are concerns that the trend may continue to spiral upwards. The soaring bills can be attributed to a number of factors, including supply chain issues and increased demand due to the COVID-19 pandemic. While retailers have attempted to absorb some of the increases in costs, the strain on household budgets is becoming more apparent. With the future uncertain, there is hope that policymakers and industry leaders will work together to find solutions for Irish shoppers. In the meantime, consumers are being urged to shop smart, compare prices and stretch their grocery budgets as far as possible.
