Between May and June 2022, the Food Industry Producer Price Index (IPPI) jumped 2.3%, according to the survey carried out by the High Commission for Planning (HCP), relayed by The Economist. For the 1st half of 2022, the IPPI is up by 9.4. “We are close to double-digit growth!”, warns the daily. In the beverage manufacturing industry, this index remained unchanged, remaining at 105.3, its level since March 2022, after having stagnated, seven months in a row, at 102.6.
According to the HCP, the increase in food prices observed between May and June 2022 mainly concerns “Oils and fats”, the price of which rose by 2.7%, “Milk, cheese and eggs” by 2.1% , “Mineral waters, soft drinks, fruit and vegetable juices” by 0.8% and “Coffee, tea and cocoa” by 0.4%. On the other hand, prices fell by 3.1% for “Vegetables”, by 2.4% for “Fish and seafood”, by 0.2% for “Fruits” and by 0.1% for meats”. For non-food products, the increase mainly concerned “Fuel” prices with 9.2%.
“For its part, the Foreign Exchange Office reveals, through the monthly indicators of foreign trade at the end of June 2022, that imports of food products show an increase of 43.4% or +13.945 billion dirhams”, indicates the publication. .
If this development is essentially dependent on the increase in wheat purchases of 55.1% (+4.751 billion dirhams), compared to the same period last year, due to the price effect, which increased by 52 .5% and a slight increase in imported quantities of 1.7%, other food products, such as sugar (raw or refined), ubiquitous in the food supply, and packaged foods and drinks rich in sugars added, saw their imports at the end of June climb by 52.5% (+1.322 billion dirhams), compared to the same period last year.
Ditto for crude or refined soybean oil, which constitutes an input of choice in several food compounds such as canned fish, margarine, charcuterie, biscuits, production of condiments and others. It is also used in the compound feed industry.
According to the Foreign Exchange Office, at the end of June, imports of crude or refined soybean oil increased by +99.3% (+2.225 billion dirhams), compared to the same period last year. All these increases in input prices have had no other effect than to drive up production prices in the food industries.
