Lewiatan: more expensive food driving inflation

Rising food prices, caused by such factors as spring droughts, are the main reason for the high inflation recorded in May, according to Sonia Buchholtz, an economic expert at Konfederacja Lewiatan. In a flash estimate published on Tuesday, Poland’s statistical office GUS informed that the prices of consumer goods and services last month increased by 2.3 percent y/y and by 0.2 percent m/m.

“This year's spring was extremely unfavorable from the perspective of food producers. Drought and heat, interspersed with floods and hurricanes, reduced the supply of agricultural products, which contributed to the increase in their prices,” Buchholtz said.

(PAP)