Italian Pizza-Making Cost Remains High on Pricey Olive Oil (From Bloomberg)
~ Saturday, July 22, 2023 Blog Post ~
By Giovanni Salzano and Alessandra Migliaccio, July 17, 2023
- Bloomberg custom index shows olive oil price up almost 27%
- Rise in cost of ingredients to make pizza outpaces inflation
The cost of cooking a classic Pizza Margherita continued to rise at a pace more than twice that of overall Italian inflation as olive oil prices soared.
The total amount spent on ingredients and energy to cook the Neapolitan specialty increased 14% in June from a year earlier, according to Bloomberg calculations based on Istat and Economy Ministry data. Olive oil prices shot up almost 27% contributing to the jump.
Italy’s overall inflation rate stood at 6.7%. That’s less than the 8.1% rise registered in May showing that price pressures are decreasing for consumers. Pizza costs have slowed too compared to a peak increase of 30% in November.
The cost of buying prepared pizza rose only 7% from a year earlier, making it more worth while to buy a ready-made version of the delicacy at the store.
- Flour consumer prices rose 6.8% Y/y but fell 0.6% M/m
- Mozzarella consumer prices rose 17.7% Y/y but fell 0.4% M/m
- Tomato consumer prices rose 12.8% Y/y but fell 10.0% M/m
- Olive oil consumer prices rose 26.7% Y/y and 2.4% M/m
- Electricity consumer prices rose 1.4% Y/y but fell 6.6% M/m
©2023 Bloomberg L.P.
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