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Rome

Food prices outpaced inflation by 11 times says Coldiretti

'Market distortions still exist' says farmers association

Food prices outpaced inflation by 11 times says Coldiretti

Rome, January 5 - Food consumer prices grew 11 times the average rate of yearly inflation (+0.1%) but those earnings did not benefit those who produced the food, Coldiretti farmers association said Tuesday. "The trend in food prices reflects seasonal conditions but it also the result of distortions that still exist and occur after the products leave the field and before they reach the table," Coldiretti said. "In that phase, prices rise an average of five times, albeit with differences between fresh produce and processed foods". Coldiretti added that Italian family spending on food and beverages rose by an estimated 0.3% in 2015 after contracting for seven consecutive years. The positive trend is expected to continue this year, the association said. Food spending is the second most important family budget item after housing, and is a key indicator of the state of the national economy, Coldiretti said.

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