Price of butter has almost DOUBLED in the last 12 months as Brexit and dairy inflation takes its toll

The price of the breakfast staple has risen by 42% in the last year, according to a new report. BY IAN FLETCHER.
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THE price of butter has nearly DOUBLED in the past year as dairy inflation continues to spread following the UK’s historic Brexit vote.
The cost of the kitchen staple has rocketed by as much as 42% in the wake of warnings over supply shortages, according to a new report yesterday.}
Data from market analysts Brand View found that block butter prices are up 7% year on year across 80 products in the major multiple retailers.
The Grocer magazine said that the shelf price increases are the result of both reduced promotional activity on block butter and higher base prices on some products.
But rising inflation following the UK’s decision to leave the European Union has seen milk and dairy prices ‘rise significantly’, reports the Telegraph.
The hikes follow warnings by manufacturers last year that falling milk production and low stocks had resulted in supply issues and soaring wholesale prices for butter.
Agriculture and Horticulture Development Board analyst Patty Clayton told the magazine: “Prices are likely to have been at least partly affected by the higher wholesale pricing that came about on the back of the lack of product in the autumn.
“If the stock situation had been strong, even though production had gone down, we might not have seen such a big increase in wholesale prices. “
Ms Clayton said that higher distribution costs had also contributed to retail price hikes although she added that this factor had less of an impact on butter than other dairy products such as cream, due to the minimal packaging needed.
A Sainsbury’s spokeswoman told The Grocer: “The cost of individual products is determined by a number of factors and prices can fluctuate, both up and down, as a consequence.
“We remain committed to providing our customers with delicious food and great quality and value every time they shop with us.”
Source: TheSun

Mirá También

Así lo expresó Domingo Possetto, secretario de la seccional Rafaela, quien además, afirmó que a los productores «habitualmente los ignoran los gobiernos». Además, reconoció la labor de los empresarios de las firmas locales y aseguró que están «esperanzados» con la negociación entre SanCor y Adecoagro.

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