With the development of globalization, travel and international trade, we are increasingly interested in how food prices are shaped in different countries. Poland, as a member of the European Union, is an excellent research field for comparing food prices in the context of the entire continent. So let's analyze how these prices are in Poland compared to other European countries.
Price of the shopping cart
o conduct a fair comparison, it is worth focusing on the so-called "shopping basket", i.e. a set of basic food products that are commonly consumed by the average family. Such a basket usually includes products such as bread, milk, eggs, meat, fruit, vegetables and other basic items.
Poland against the background of Europe
According to data from Eurostat, the European Union's statistical agency, food prices in Poland are lower than the EU average. For many products, such as vegetables, fruit and meat, Poland ranks below the European average.
However, please note that price differences may be significant between product categories. For example, in Poland dairy products, including milk and cheese, can be more expensive than in some other European countries. On the other hand, fruit and vegetables are often available in Poland at more competitive prices than in the west of the continent.
Currently, food prices in Poland are rising rapidly. In May 2023, the increase in food prices in Poland was approximately 15.7%. year on year, which is the highest reading in this cycle. For comparison, in May in the European Union food prices increased by about 5%. Every year. This phenomenon is the result of, among others, inflation, which, although felt throughout the continent, reached different values in individual countries. In June 2023, average inflation in the euro area was 5.5%, which is the highest reading since the introduction of the euro in 1999. In Poland, inflation in 2023 was one of the highest in Europe. In June 2023, it was 15.6%, which is the highest reading since 1997. The main factor driving inflation in Poland were rising food, energy and fuel prices. For comparison, in Germany, inflation in June 2023 was 8.2% (the highest reading since 1993), in France - 6.5% (the highest reading since 1985).
Other reasons for the increase in food prices in Poland and Europe are:
- Rising costs of food production, including energy, raw material and labor costs;
- The war in Ukraine that disrupted global food supply chains;
- Climate change that causes yield instability.
Nevertheless, compared to other European countries, food prices in Poland are still relatively low. For example, in May 2023, bread prices in Poland were about 30% lower than the EU average, and meat prices were about 20% lower.
Practical comparison – Poland and Germany
The Polish-language website Deutsche Welle published an article by two Polish journalists who, as part of a practical experiment, made similar grocery purchases in the same chain of stores in Poland and Germany. This allowed us to compare the prices of basic products in both countries. In Poland, bread turned out to be cheaper: the price of a kaiser roll in Poland was PLN 0.33, and in Germany - PLN 0.85. Wholegrain toasted bread cost PLN 3.57 in Poland and PLN 5.32 in Germany. In Poland, fresh milk was also almost half cheaper (PLN 3.19 compared to PLN 6.03 in Germany), and Polish butter was 70 groszy cheaper.
Products in which price differences were very noticeable were strawberries (PLN 14/kg in Poland and PLN 21/kg in Germany), Gouda cheese (PLN 9.99 in Poland for 300 g, in Germany a similar portion of the product - approx. 13 .36 PLN). Apples were also cheaper in Poland - the price difference was over PLN 2 for each kilogram of fruit.
Very similar prices concerned carbonated water and sunflower oil. In turn, turkey meat, spaghetti, bananas and tomatoes turned out to be noticeably cheaper in the German store (the difference in the price of tomatoes was almost PLN 4.50 per kilogram).
The effects of rising food prices
Rising food prices may have a negative impact on households, especially those with low incomes. This can lead to reduced food intake and impaired quality of life. On the other hand, lower food prices in Poland may encourage Europeans to shop there. And this is not only about private purchases by consumers living close to border zones, but above all about wholesale orders made by entrepreneurs. Many Polish wholesalers already cooperate with foreign entities, offering their products through online wholesalers and having carefully developed customs and logistics procedures.
The incentive to buy Polish food is not only its attractive price, but also its high quality. Poland, like other EU countries, is subject to restrictive requirements regarding food production (and EU regulations are additionally supplemented with no less demanding national regulations). There is also no shortage of farms in Poland that produce food in an ecological and sustainable way, which not only fits in with global trends, but also affects the taste of food and the content of nutrients. Therefore, Polish entrepreneurs, despite a noticeable increase in prices in the country, still have a chance to take advantage of the differences and attract foreign customers.
The future of food prices
Food prices in Poland and Europe are expected to continue to rise in the coming months. The main factor driving price increases will be further increases in food production costs. Some analysts, however, argue that the price growth rate will be much slower than in 2022, which gives hope for a slow slowdown in inflation.
Other analysts believe that over time, food prices on European markets will begin to decline. Nevertheless, the price drop will not be felt at the same time throughout Europe, and the price reduction may occur in some countries (including Poland) with a delay of up to several months compared to its Western neighbors.
Factors influencing price differences
There are many factors that influence differences in food prices between countries. One of the key factors is the standard of living and purchasing power of society. A country with a higher standard of living will be able to afford higher food prices.
An additional factor is differences in production and transportation costs. A country where agri-food production is more developed and effective can offer products at lower prices. Similarly, countries with a favorable geographical location that facilitates the transportation and distribution of food may have more favorable prices.
Seasonality also influences price differences between countries. Seasonal produce, such as fresh fruit and vegetables, may be cheaper in a country where it is grown on a larger scale. However, in other countries where this type of products are more scarce, their price may be higher.
Summary
A comparison of food prices in Poland and Europe shows that although there are differences, Poland is usually lower than the EU average. The key factors influencing these differences are living standards, production and transportation costs, seasonality and market trends.
It is worth remembering that food prices are subject to dynamic changes, therefore regular monitoring of the food market is important for both consumers, producers and distributors.