Food Prices Jump 8.63% in T&T

• Just before fuel prices are due to increase in Trinidad and Tobago, the Central Statistical Office (CSO) reported that the prices of food and non-alcoholic beverages increased by 8.63% between February 2021 and February 2022. 
• The food and non-alcoholic beverage category, which is most important to a significant percentage of the population, contributes 17.3% to the overall consumer price index. 
• The rise in prices was significantly impacted by the general upward movement in the prices of white flour; snacks-fried, baked, or roasted; parboiled rice; carrots; Crix; other chilled or frozen chicken; whole chickens-frozen; full cream milk; and Milo. 
• However, the full impact of these price increases was offset by the general decrease in the prices of tomatoes; pumpkin; hot peppers; chive; powdered milk; full cream; potatoes; celery; green (sweet) pepper; mixed fresh seasoning, and sweet potatoes. 
• It is expected that inflation will remain elevated as production and food prices continue to be impacted by the commodity price shocks caused by the geopolitical crisis. While the Central Bank of Trinidad and Tobago has not raised its policy rate as yet, elevated inflation and the Federal Reserve’s aggressive policy stance may force the CBTT to follow suit with rate increases to support its currency peg, by maintaining an attractive TT-USD interest rate differential and prevent capital flight.

(Source: Trinidad Express Newspapers)