Australian consumers are being ripped off at the supermarket, with hot cross bun prices rising by double digits in a year even as volumes shrink.
Consumer group CHOICE has revealed the extent of the shrinkage crisis, with products being sold at a much higher (or the same) price despite containing fewer packs.
This affects foods from hot cross buns to cereal, cookies and cleaning products.
Value for money is being eroded at the supermarket checkout, even though inflation is officially moderating.
With Easter Sunday just 11 days away, hot cross buns are getting a lot more expensive, and there’s less to see.
Australian consumers are being ripped off at the supermarket as hot cross bun prices rise by double digits in a year – even as volumes shrink
Community Co’s traditional and chocolate variants have shrunk by 30 grams since last year.
But the price rose 12.5 percent from $4 to $4.50, even as volume shrank 6.3 percent to 450 grams in February 2024, compared to 480 grams in February 2023.
The increase in hot cross bun prices is more than triple January’s annual inflation rate of 3.4 percent.
When it comes to breakfast cereals, the major supermarkets are among the worst offenders, selling a cheaper version of Kellogg’s Nutri Grain.
Coles sold 560g packs of Mighty Grain cereal for $4.50 in October 2022.
But in March 2024, the product was sold at the same price with 495 grams of grain – an 11.6 percent volume reduction without a price reduction.
When it comes to breakfast cereals, the major supermarkets are among the worst offenders, selling a cheaper version of Kellogg’s Nutri Grain
A Coles spokeswoman told Daily Mail Australia that Mighty Grain’s supplier had incurred higher production costs.
‘We can assure our customers that we have not benefited from the change in pack size of Coles Mighty Grain and Coles Corn Flakes cereals and that all cost reductions have been maintained by our supplier, who has experienced increases in production costs and raw ingredients, ‘ she said.
“Our supplier informed us that he was changing the pack size of his cereal products, both branded and private label, so he could simplify production and the supply chain.”
Rival Woolworths sold a 560g pack of Max Charge for $4.50 in September 2023, but by this month the size had shrunk to 495g.
But a Woolworths spokeswoman told Daily Mail Australia the own-brand products were 30 per cent cheaper than similar brand products.
“Our suppliers were asking for changes in pack sizes,” she said.
‘We can confirm that there was no financial benefit to Woolworths from changing the size of these products as the supplier’s costs to us did not decrease.
‘On average, these two products are also cheaper than comparable brand products.’
In the year to January, bread and cereal prices rose 7.4 per cent, Australian Bureau of Statistics figures show.
The shrinkage crisis is also impacting biscuits, with McVitie’s Go Ahead range of ‘forest fruit’ products remaining at $4.40, despite shrinking 20.2 per cent to 174 grams, down from 218 grams since June 2022.
The ‘shrinkflation’ crisis is impacting foods from hot cross buns to breakfast cereals, cookies and cleaning products
Cleaning products are also becoming increasingly expensive, even though consumers are getting less of them.
In the case of Jif’s Power & Shine Bathroom Cleaner, the cost has increased 60 percent to $4, up from $2.50 in May 2022.
This is despite the fact that the volume of the bottle has shrunk by 28.6 percent from 700 ml to 500 ml.
The price per 100 ml has more than doubled.
Daily Mail Australia also approached Community Co, United Biscuits and Unilever Australia for comment.