Food inflation eases as China reopens

Consumer prices in China rose only 1% year on year, according to the latest data from the National Bureau of Statistics.

Six of the seven majority categories tracked by the bureau saw inflation, with housing seeing the only decline. Food inflation saw the second highest level of inflation at 2.1% following a miscellaneous category at 2.6%

While inflation is much lower than the rest of the world, China’s government is very sensitive to food inflation. Last month, Beijing’s local gave out vouchers to low-income residents for 40 yuan/month to help combat food inflation.

Fruit prices rose 10.8% year on year, eggs were up 8.1%, and pork was up 7.9%.

The only food category to see a decline was aquaculture products.