Food and non-alcoholic beverages have a minimum incidence of 0.118% in inflation, according to the latest INEC report

The most recent official data indicates a Annual inflation last November of 1.84% in Ecuador, according to the National Institute of Statistics and Censuses (INEC).

The greatest weight corresponded to transportation (1.26%), health (0.14%) and education (0.12%). Food and non-alcoholic beverages have a minimal incidence: they occupy the fourth place with 0.118%.

“Inflation in food is very specific to certain products and is associated with imports (such as wheat, a raw material for making bread). Those produced locally, for example, fruits and vegetables, fall in price (last November compared to the same month of 2020). There is not a generalized growth in food prices ”, assures the analyst and editor of the economic magazine Weekly Analysis, Alberto Acosta Burneo.

If the group of foods and non-alcoholic beverages is analyzed in detail, the strongest increase is in oils and fats in Ecuador, due to an international impact, he indicates.

“Palm oil has risen sharply due to production problems in Indonesia and Malaysia, which are the main producers. The pandemic reduced the supply of labor and last year the La Niña phenomenon reduced the rains (in those countries), which generated problems in the supply worldwide and this caused prices to rise significantly ”.

The second group to rise is mineral water, soft drinks, and fruit juice. And in third place is bread and cereals, which is influenced by the price of wheat, which has risen abroad. “There is greater demand from China and also problems on the supply side in some producing countries,” says Acosta.

98% of the wheat consumed in the country is imported, and replacing this grain with local production is difficult. The main producers harvest 8 tons

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