August 23, 2022

Retailers Attempt to Sugar Coat Inflationary Prices

New York…”We’re doing everything to mitigate the ridiculously high prices,” the owner of a chain of kosher independent supermarkets told Kosher Today. I watch the customers' faces and I pray that they don’t hit the eggs first whose prices have been going through the roof,”  he added. Despite some drop  in the price of fuel at the pump, there is no sign that food prices will tank anytime soon, he added. Retailers say that they are resorting to certain “tricks” to soften the impact of the higher prices. Ironically, the same scenario repeats itself in Israel as well. One retailer said that he has installed many self-weigh/label machines so that customers can see exactly how weight related foods are priced.

US markets heaved a sigh of relief when data for July showed annual inflation running at 8.5%, down from a 40-year high of 9.1% in June. This is still almost double Israel's annual inflation rate in June of 4.4. This would push annual inflation up to 4.5%, the highest figure since 2008, and well above the Bank of Israel's annual target range of between 1% and 3%. But some economists expect the July CPI figure to be even higher. Political pundits are predicting that the high rate of inflation in both the US and Israel will have an enormous impact on election results in both countries. In the meantime, US kosher retailers are doing whatever they can to tame the reaction of customers at the sight of constantly rising prices.