Breakfast products increased by 71 percent in two years.

The eToro breakfast index, consisting of the current global prices of nine food items, has increased by 71% in two years. - much more than official inflation suggests. The most, because by 124 percent. - increased orange juice price. The least - because only 7 percent. - increased cocoa price.

Breakfasts more expensive by an average of 70%

Within two years, the world prices of products needed for a standard breakfast increased by 70%. This is much more than the official inflation (CPI) which at the same time (cumulated) amounted to 20,7% in Poland. This means that food companies have room for further price increases to keep up with global prices. Strong increases in food prices hit the less affluent harder, for whom the share of food products in the basket is greater.

READ: How to invest in food? [Guide]

What is the breakfast index

Breakfast index eToro consists of the current global prices of nine food items, including: wheat, cocoa, oatmeal, pork, orange juice, coffee, milk and tea. No Polish breakfast is complete without most of these products, either directly or in processed form. Since July 2020, this index has increased by 71%. The most important factors causing the increase in prices were war in Ukraine and problems in global supply chains. Weather problems affecting many regions in the world also contributed to the growth. Rising prices in world markets are impacting consumers in the form of higher prices or lower packaging while maintaining the same price.

In two years, the price of orange juice increased the most - by as much as 124 percent. This is the result of unsuccessful orange harvests in the USA, caused by bad weather and tree diseases. Coffee in two years it increased by 94%, also due to bad weather and problems in the supply chains. About 80 percent The price of pork has increased on global markets, which may please Polish breeders, but worry consumers. This is mainly the effect of rising transport prices and rising labor costs. The price of cocoa was the lowest, which is only 7 percent. more expensive than two years ago, due to the surplus created due to the decline in demand during the pandemic.

A way to get high? Eat less

Some politicians propose simply to eat less when food prices rise. This is a very radical solution. Our index shows that part of the price increase can be avoided by, for example, switching from coffee to cocoa or orange juice to tea in the menu.

About the author

Pawel Majtkowski - analyst eToro on the Polish market, which shares its weekly commentary on the latest stock market information. Paweł is a recognized expert on financial markets with extensive experience as an analyst in financial institutions. He is also one of the most cited experts in the field of economy and financial markets in Poland. He graduated from law studies at the University of Warsaw. He is also the author of many publications in the field of investing, personal finance and economy.