The local prices of food have risen at more than double the average rate of the EU over the last decade.
The average yearly rise of 2.9 per cent in Malta is more than twice the EU’s 1.4 per cent increase.
According to economist Gordon Cordina, this is mainly due to Malta’s isolated geographical location and the small size of the economy. He stressed the importance of monitoring potentially vulnerable households, such as pensioners.
Figures issued by the National Statistics Office last week showed that food prices were the biggest contributor to price inflation.
Meanwhile, Eurostat figures issued in June showed that the average price of food in Malta was 12 per cent higher than the EU average in 2018.
Dr Cordina said food on average absorbs one fifth of the spending by households in Malta. That’s according to the last NSO Household Budgetary Survey from 2015.
“Pensioners tend to be more vulnerable to food price changes, as food makes up around one fourth of their spend, while people with low standards of education would be those hurt most, as their spend on food could absorb almost one-third of the budget,” he said.
“The country’s possibilities for local food production are limited by the smallness of the territory and the available related resources.
“Very often, Malta has no option but to absorb changes in the prices of food internationally. Even worse, the smallness of the economy precludes the reaping of economies of scale in food purchasing, and may inhibit effective internal competition due to the small number of players in the food importation and distribution markets.
“The growth in the economy, in incomes and population, are also resulting in upwards pressures on food prices,” he said.
How can I save money and eat healthy food?
While we cannot control the increasing price of food, there are measures we can take to eat healthily without breaking the bank, explains Superintendent of Public Health Charmaine Gauci.
“It’s important for people to learn how to make the best of their budget and acquire skills to prepare healthy, nutritious food on a budget,” she said.
Fruit and vegetables are re-commended as a daily part of our diet, but keeping our kitchen stocked can be expensive. One way around this is choosing fruit and vegetables that are in season – as they will be better priced – with prices even more competitive at the Farmer’s Market, she said.
Prof. Gauci added that, when you buy fruit and vegetables at a good price, consider buying extra and freezing. For example, marrows can be stored in the freezer and used for a delicious soup.
Another way to save money is to avoid food wastage by planning your weekly meals, storing food properly, freezing certain ingredients and leftovers, and getting creative with leftovers by turning them into another meal rather than throwing them in the bin.
