Pizza prices soar despite falling raw material and electricity costs

Despite the fact that inflation in the Eurozone in April this year, according to the reports of statistical agencies, has slowed down, and energy prices are still on a downward trend, the food price index continues to “jump”, burdening household budgets.

The price of the classic Italian Margherita pizza continued to rise year-over-year in April, although the prices of all its ingredients have been declining every month.

“Italian pizza remains expensive even with lower energy and tomato prices,” Bloomberg writes, citing data from the Italian statistical institute Istat and the country’s finance ministry.

Pizza ingredients (flour, tomatoes, mozzarella and olive oil), as well as the energy needed by an electric oven to bake the iconic “dish” of Naples, increased by 19% in April compared to 2022. However, the rise in prices slowed down compared to March. Recall in November last year, there was a jump in the cost of production, exceeding 30%.

The increase in the index (price index) on the “Pizza Gauge” is still well ahead of headline inflation, which was 8.7% last month. Bloomberg drew its own conclusions by combining the prices of flour, tomatoes, mozzarella cheese, olive oil and the electricity needed to bake pizza. In total, it turned out that the total cost of making pizza fell by 11.3%:

• The retail price of flour increased by 11.1% year on year.
• Consumer prices for mozzarella rose 25% year on year but fell 0.4% last month (April).
• Tomato prices rose 8.6% year on year, but fell 2% in April.
• The price of olive oil increased 26.1% year on year but fell 1.2% in April.
• The price of electricity rose 20.1% year on year but fell 11.3% last month.

The conclusion states that the cost of buying ready-made pizza increased by only 7.6% compared to the previous year, which made her purchase in a pizzeria a cheaper optionthan making your own at home.

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