Inflation growing in the OECD as food prices bite

FOOD prices are posing greater inflationary pressures throughout the developed world, the Organisation for Economic Co-operation (OECD) revealed yesterday.

And food inflation in UK shops was up to 4.7 per cent last month, according to a separate survey conducted by the British Retail Consortium (BRC).

Overall shop price inflation edged up to 2.5 per cent, from 2.4 per cent the previous month.

“Rising food inflation outweighed slowing non-food inflation,” the BRC’s Stephen Robertson explained.

Consumer prices were up 2.7 per cent in the year to March throughout member states of OECD, it announced yesterday -- up from a rate of 2.4 per cent the previous month.

Food prices continued to grow across national borders, the OECD revealed, up 3.2 per cent in its member countries for March.

The UK still has the highest consumer price inflation in the G7, despite a slowdown in its annualised rate in March.

In the UK, inflation came in at four per cent in March, compared to 3.3 per cent in Canada, 2.7 per cent in the US and two per cent in France.

Industrial producer prices, meanwhile, were up by an annualised 6.7 per cent in the Eurozone in March, the Eurostat office said yesterday.