Original article: IPC de junio fue 0,0%, pero la boleta igual duele: alimentos suben y el pan trepa 4,5%

June CPI Remains at 0.0%, Yet Grocery Bills Hit Hard: Food Prices Surge with Bread Jumping 4.5%

The National Institute of Statistics (CPI) released its customary June 2026 Consumer Price Index report this Wednesday, revealing a figure that may seem comforting at first glance: the overall monthly change was 0.0%. However, a closer look at the basket reveals that eight out of thirteen divisions recorded positive contributions, particularly highlighting the rise in food prices, especially a crucial household staple such as bread, which surged 4.5%.

According to the report, the CPI has accumulated a 2.8% increase for the year and a 4.3% rise over the past twelve months.

In June, decreases were observed in the transportation division, as well as in clothing and footwear, while food and non-alcoholic beverages saw increases.

The transportation division had the largest negative impact, with a monthly decline of 1.3%, contributing -0.181 percentage points to the overall index. This decrease was led by personal vehicle fuel prices, which fell by 3.3%, particularly gasoline, which saw a 2.5% drop in June, contributing -0.095 percentage points. Meanwhile, diesel fuel experienced an even sharper decline of 8.0%, accumulating a staggering 42.1% increase this year, reflecting the volatility that has characterized this item.

Additionally, clothing and footwear also contributed to lower prices, recording a monthly decrease of 6.1%, accounting for -0.148 points, with children’s sneakers and men’s shirts among the most significant decreases.

However, the relief offered by these sectors is overshadowed by the behavior of the food and non-alcoholic beverages division, which has become the primary burden on Chilean households, reflecting a monthly increase of 0.8% with a positive incidence of 0.169 percentage points.

This increase was felt in ten of the fifteen classes that make up this category, with breads, cereals, flours, and pastas being the most significant price drivers, showing a variation of 3.0% that contributed 0.124 points to the overall CPI. Within this category, the most notable increase was bread, whose price soared by 4.5% in June, becoming the food item with the highest positive incidence for the month at 0.093 points, accumulating a 2.1% increase for the year.

In addition to the rise in bread prices, other items are contributing to a progressively more expensive basic food basket. Dairy products, plant-based beverages, and eggs increased by 1.1%, contributing 0.030 points, while cheeses specifically saw a 2.1% rise.

Surge in Food Prices: 50 out of 81 Products Increased in Cost

Of the 81 products in the food division, exactly 50 reported price increases, reflecting a widespread pattern of rising costs. Other notable increases included wines, which saw a monthly hike of 3.9%, and food purchased at restaurants and cafes, which increased by 0.6%, both directly impacting household budgets dedicated to dining out.

The INE report also reveals that when excluding food and energy, the CPI recorded a negative variation of 0.1%, indicating that core inflation remains contained. However, the increase in food prices, along with other spikes in divisions such as alcoholic beverages and tobacco (0.9%), housing and basic services (0.4%), and recreation and culture (0.8%), paints a picture where the stability of the overall index is more of an illusion than a tangible reality for households.

In a context where bread, cheese, and wines lead the price increases, grocery bills continue to sting, confirming that the 0.0% CPI is merely one side of a coin that reveals a persistent increase in what truly matters for daily consumption in households.