Strawberries and cream up to 30% more expensive as input costs soar

Punnets of strawberries are up to 30.9% more expensive than this time last year, The Grocer’s analysis of Assosia data has found.

Strawberries across the major multiples have seen steady inflation as growers grapple with increased wage costs.

The biggest price increase was in Asda’s Ripe & Sweet Strawberries, which increased by 30.9% compared with this time last year [Assosia 53 w/e 1 July 2024], rising from £1.49 to £1.95.

The next highest rises were in Tesco, Asda and Aldi. Their more budget-friendly lines – Rosedene Farms Strawberries, Just Essentials and Everyday Essentials Wonky Strawberries respectively – increased by 26.6%, from £1.09 to £1.38. Tesco’s increase here was part of an Aldi price match campaign. 

Tesco’s organic 300g line also increased by 20% from £2.50 to £3 which the retailer said was competitively priced.

On average, strawberries have increased by 8.9% across 23 lines compared with this time last year, which growers have said has been driven in part by increased wage costs, including a rise to the national living wage and National Insurance payments.

The NFU had warned in December that labour costs had increased by at least 10% due to these policy changes.

“There is this year’s wage cost inflation plus a degree of catch up, as growers have in recent years been seeing returns below a level at which they can remain sustainable,” said Nick Marston, chairman of British Berry Growers. “So, an increase in grower returns, with the inevitable retail inflation, is not surprising and shows a move by retailers to ensure their growers can continue to produce great berries for their consumers.

“The ongoing market growth at these higher price levels also shows that British berries are still great value compared with other fresh foods and less healthy snacks as well.”

For Wimbledon watchers, the price of cream is also up compared with last year as wholesale dairy prices soar. According to The Grocer’s Key Value Items tracker in partnership with Assosia, double cream is up by 29.4% on average across the major retailers. 

This comes as M&S launched its Strawberry & Creme Sandwich last week, inspired by Japanese sweet sandos. The launch quickly took off on the internet, but has now come under fire from HMRC over tax concerns. Under current UK VAT legislation, most sandwiches are zero-rated but sweetened or confectionery-like items can be liable for the standard 20% VAT.

“What matters most to our customers is price and on that we simply can’t be beaten,” said an Aldi spokesperson. 

“Strawberry prices have been impacted by rising production costs, particularly the cost of labour,” said a BRC spokesperson. 

All named retailers were approached for comment.