What happened
A recent study by Tel Aviv University found that food prices in Israel have surged by 19% over the past four years, with some products experiencing dramatic increases. The study tracked the prices of 80 popular supermarket products from September 2022 to August 2026 and found that prices rose by 19.6% in neighborhood stores, 19% in online shopping, and 14.5% in discount chains.
The price increases were most notable for certain products, such as chocolate, which rose by nearly 78%, and cheese burekas, which jumped by 47.5%. Coffee prices also climbed by 26.1%. The study's findings reflect a significant increase in the cost of living for Israeli consumers, particularly low-income families who allocate a larger share of their budget to food.
The researchers noted that the price increases cannot be fully explained by factors such as increases in VAT, municipal property taxes, and electricity costs. They also pointed out that the shekel strengthened and global food prices fell during the same period, which could have mitigated price increases. The study's authors criticized the government for not taking sufficient action to address the cost of living and promote competition in the food sector.
The study's findings have significant implications for Israeli consumers, particularly low-income families who are severely impacted by the price increases. The researchers emphasized that curbing prices requires genuine government action, promoting competition, and addressing market concentration in the food sector.
