Electricity price increased the most "Perceived inflation" in Switzerland higher again in June

Everyday goods in Switzerland became more expensive again in June. The so-called "perceived inflation" was on a par with the official inflation rate.

Keystone-SDA

25.07.2024, 05:02

25.07.2024, 08:52

SDA

According to the Comparis Consumer Price Index published on Thursday, prices for everyday goods in Switzerland rose by 1.3% in June compared to the same month last year. This means that the selected everyday goods covered by the index rose on average at the same rate as prices according to the official national consumer price index (CPI) published by the Federal Statistical Office (FSO).

Compared to the previous month of May, however, prices rose by 0.4% according to Comparis, while the CPI did not change compared to the previous month.

According to the data, the price of electricity rose the most compared to June 2023 at 17.8%. Sugar followed in second place with an increase of 11.0%. Sugar prices had already risen by 13.7% a year earlier - i.e. from June 2022 to June 2023.

Expensive food

According to Comparis, food has generally become 6.7% more expensive on average over the last three years. The prices of margarine, cooking fats and oils and sugar in the food sector have risen the most in the last three years, by a good quarter.

This is followed by butter and chocolate with over 10 percent as well as bread, flour and cereal products and milk, cheese and eggs with almost 10 percent. By contrast, the prices of fruit, vegetables, potatoes and mushrooms, confectionery and ice cream rose the least at 1.1 to 3.5 percent.

"There are many reasons for the higher prices: on the one hand, there are higher production costs, such as increased energy prices. In addition, poor harvest results are responsible for the price explosion, for example due to increasing weather extremes," explains Dirk Renkert from Comparis. According to Renkert, food accounts for over a tenth of a Swiss household's consumption budget.

Food cheaper year-on-year

However, according to the Comparis Consumer Price Index, food became cheaper year-on-year, by an average of 0.4 percent.

The Comparis Consumer Price Index, in collaboration with the KOF Swiss Economic Institute at the Swiss Federal Institute of Technology (ETH), says it reflects perceived inflation by adjusting the data from the national consumer price index (CPI) for rents and durable goods such as cars and furniture. The CPI measures price changes using a representative basket of around 1,050 goods and services.