By The Manila Times
Slower growth for food retail sales in the Philippines is projected for 2024 due to elevated prices from inflation, according to the United States Department of Agriculture (USDA).
In its latest Global Agricultural Information Network report, the USDA said that the 7.0 percent growth this year is slower in comparison to last year’s 8.0 percent growth.
“While elevated prices from food inflation continue, consumers spend conservatively, prioritizing basic commodities,” it said.
The lower growth rate was partly due to less home cooking as more consumers rely on food deliveries and dine-in restaurants.
“Due to rising prices of basic commodities and fuel costs, low-income households spend less, while the affluent remain unaffected,” said the USDA.
Moreover, food retail sales this year is forecast to reach $61.278 billion, still higher than the $57.136 billion logged in 2023.
The USDA also forecasts continued upward sales in supermarkets, hypermarkets, convenience stores, and warehouse clubs as elevated food inflation further contributes to the increase in retail prices.
“Retail stores continue introducing new products, opening new branches, improving online selling platforms, further contributing to retail sales growth,” it said.
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