Bread increases by 18 percent across EU as impact of war in Ukraine hits prices

The price of bread rose by almost a fifth in the European Union in August as Russia's invasion of Ukraine, both major exporters of grains and fertilisers, continued to disrupt global markets and headline inflation accelerated.

Hungary has seen the biggest increase, with prices rising by 65 percent in a year, according to data published by European statistics website Eurostat.

In August 2022, the price of bread in the European Union (EU) was on average 18 percent higher than in August 2021, according to figures published by Eurostat earlier this week. 

This is attributed to the war in Ukraine, "which has considerably disrupted world markets, as Russia and Ukraine were major exporters of cereals, wheat, maize, oilseeds (especially sunflower) and fertilisers", explains European statistics website.   

"A huge increase compared to August 2021", notes Eurostat, since at that time "the price of bread was on average 3% higher than in August 2020". 

Among the EU member states, Hungary is experiencing the highest increase, with 65 percent inflation in one year.

French increases

The countries with lowest average increases were France at 8%, and the Netherlands and Luxembourg which recorded a 10% rise each.

Bread prices have risen consistently in the EU this year, from an average of 8.3 percent in February, when Russia launched what is calls its "special military operation" in Ukraine.

Combined prices of bread and cereals increased by 16.6% in August, their highest rise since at least January 1997.

Euro zone inflation hit a record high of 9.1% in August, Eurostat confirmed, driven by sharply higher energy and food prices.

(with wires)