These essential products are driving up the cost of living in Czechia

“War inflation” is finally making its effects known on the Czech economy. Inflation data for March released today by the Czech Statistical Office is the first such data to take the first economic impacts of the war in Ukraine into account; and it doesn’t make for pleasant reading.

Year-on-year inflation hit 12.7 percent in Czechia in March. Month-on-month inflation, comparing consumer prices in March with prices the previous month, found a 1.7 percent increase in the cost of living.

Analysts sounded a gloomy note in response to the new figures, suggesting inflation will continue to get worse in the coming months and could top 15 percent this year.

As wages are not growing at anywhere near the same pace as inflation, it's warned that households will feel a significant decline in purchasing power. So which everyday goods are already more expensive, and which can we expect to pay more for in the coming weeks and months?

Price rises already being felt throughout the Czech Republic are for fuels and energy. In March, prices for fuels rose by a whopping 21.7 month-on-month, and 50.6 percent year-on-year.

Household utilities are becoming much more expensive too. Natural gas bills are higher by an average of 37.7 percent year-on-year, electricity is 24.7 percent pricier, and hot water saw a 13.9-percent yearly price increase.

Meanwhile, actual rent rates in the Czech Republic grew by 4.4 percent year-on-year.

While paying more for transport and household bills, you can also expect to see a higher total on your supermarket receipts.

Prices of flour have gone up 30.3 percent year-on-year. More widely, bread and cereal products have seen a 1 percent increase in price compared to February, and sharper increases could be coming as the effects of war in Ukraine, known as the “breadbasket of Europe” start to be felt.

Dairy products are also getting much more expensive. UHT semi-skimmed milk is 20.1 percent more expensive in a yearly comparison, potatoes are 21.4 percent pricier, and butter is as much as 31.9 percent more costly.

Many of these price increases are attributable to inflation in the energy and fuel sectors. Higher fuel and energy prices mean higher overheads for farmers, which mean higher costs for end products.

Other notable month-on-month food prices increases were for fruit (2.1 percent), oils and fats (2.8 percent), cheese and curds (1.3 percent). Bucking the trend of price increases, however, were vegetables, which decreased in price by an average of 1.4 percent compared to February.