The erosion of purchasing power to purchase almost all goods and services becomes increasingly evident in the face of inflation of 211% per year, which is also rising much faster than income.
According to the latest official data available, the average salary of a registered worker (according to the RIPTE scale) increased by 142% in November 2023 compared to the previous year, against 160% higher inflation. during the same period.
But in the case of the food sector, this worsening of wages is much more evident. Therefore, in November 2022, with an average salary of $184,210.25, that worker could purchase 451 kilos of bread while last November the amount was reduced to 291 kilos.
This is a fairly conservative calculation, taking this into account Does not include December inflation, when the INDEC reported a historic increase of 25.5% and that of January this year, which is not yet officially known, but economists already estimate it at 20%. That is to say that, taking into account the inflationary rush that occurred after the inauguration of Javier Milei and the liberalization of prices, The decrease in purchasing power is even greater.
If it is measured in kilos of flour, another important input in the family basket is the purchasing capacity of the worker himself We went from 1,309 kilos a year ago to the current 907 kilos.
Among the items where the deterioration in purchasing power was least noticed were bottles of sunflower oil, which remained inside 253 units of 1.5 liters each last November and there were 224, in the same month of the previous year. But starting in December that product made a leap, so parity was not maintained either.
Even in fresh milk the difference in the number of units was lower than in other products. The liters were 876 compared to 727 the previous year.
The exercise is carried out by taking the values of the consumer price index (CPI) published monthly by the INDEC of Greater Buenos Aires (GBA). And realize that, in many foods, the same salary now allows you to buy practically half the units.
There are also examples of products that have halved the possibility of being purchased sugar, which went from 254.41 to 1,308.43 dollars per kilo, according to the statistics agency. This means that with the $447,079.57 implicit in the current average salary, a consumer can purchase 447 kilos, when a year ago this amount amounted to approximately 724 kilos.
Another example can be seen in the eggs. A year ago, the average salary allowed you to buy 464 dozen and according to the latest official record there were 275 the tens equivalent to the purchasing power of the same updated salary.
The comparison is valid for chop: 261 kilos compared to the 142 currently purchasable; to the chicken (431 against 270 kilos); to stewed tagliatelle: 999 packs of 500 grams against 444) yallike potatoes: 891 kilos and 625 respectively.
These are just a few examples that are replicated across the entire basket, as food has risen above overall inflation. According to the latest official report, accumulated inflation has reached December 2023 211.4% and the food and beverage category grew by 251.3% during the same period.
Is the increase in food slowing down?
According to data managed by the consultancy firm LCG, when measuring prices in supermarketsIn the last week of January the sector’s price index slowed by 2.4 points compared to the previous week. However, the average increase is 17.8% over the last 4 weeks and 10.7% total over the same period. According to analysts, the “meat-free” food index records an average monthly growth of 20.3%.
This is supported by the consultancy firm Focus Market, which analyzes the evolution of prices in self-service onesthe products that increased the most between January 2024 and January 2023 were: rice (581.2%), preserves (521.4%), softeners (495.3%), purees (468.7%), Chocolates ( 460%), condiments (4567%), air freshener (440.2%), sweeteners (431%), bleach (417.3%) and sugar (410.1%).
The consultancy company underlines that “within the total of consumer products, the categories that increased the most in January were Personal Care and Cleaning, with average increases of 39.9% and 40% respectively, 5%. At the same time, they are two of the most affected categories in terms of shelf sales,” explained Damián Di Pace, director of the consultancy firm.
Source: Clarin
