Balwinder Dhoot, director for sustainability and growth at the Food & Drink Federation (FDF), has reacted to news from the Office of National Statistics (ONS) revealing inflation in the industry to be relatively level.
Annual food and non-alcoholic drink inflation eased to 1.3% in August, down from 1.5% in July - the lowest inflation rate since September 2021. There is a mixed picture for individual categories. 21 out of the 49 reported by the ONS were in deflationary territory in August, while inflation was below 5% for 19 categories. Price fell the fastest for jams and marmalades and cheese and curd by 5.9% and 4.7%, respectively, while olive oil and cocoa and powdered chocolate recorded the highest rises at 40.8% and 19.9% respectively.
Balwinder Dhoot, director for sustainability and growth at the FDF (pictured), said: “We’re pleased to see that food and drink price inflation remains steady, reflecting the ongoing stabilisation of production costs across the supply chain. However, while recent economic and policy volatility has eased, investment in our sector is key to ensuring it can continue to prosper and grow. By putting the food and drink industry at the heart of its industrial strategy, government can strengthen the nation’s food security, boost investment, and support more jobs.”
Balwinder goes on to call for a removal of bureaucracies and costs currently affecting the industry. “With export volumes down 20% in the first quarter of 2024 and recent import regulations creating administrative barriers, it’s vital that government prioritises easing the bureaucratic burden and cutting unnecessary costs and processes in order to strengthen the relationship with our largest trading partner, the EU.”
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