China Food Inflation Slows Sharply

China’s food prices rose 0.3% year-on-year in March 2026, easing sharply from a 1.7% increase in the previous month, which had marked the fastest rise since October 2024, as supply conditions improved and earlier weather-related pressures faded. Price growth slowed notably for fresh vegetables (4.9% vs 10.9% in February) and fresh fruit (4.0% vs 5.9%), pointing to better seasonal supply and normalization after prior spikes. Meanwhile, pork prices, a key household staple, fell at a steeper pace (-11.5% vs -8.6%), highlighting persistent oversupply and deepening deflationary pressure following a prolonged supply-driven downturn. Elsewhere, prices remained subdued for eggs (-3.1% vs -2.9%), cooking oils (-0.8% vs -1.1%), and dairy products (-0.7% vs -1.1%), reflecting soft demand and ample inventories.

China’s food prices rose 1.7% year on year in February 2026, reversing a 0.7% decline in the previous month and marking the fastest increase since October 2024, largely driven by stronger demand during the Spring Festival holiday. Festive consumption typically boosts purchases of fresh produce and meat, leading to a temporary pickup in food inflation. Price growth accelerated notably for fresh vegetables (10.9% vs 6.9% in January) and fresh fruit (5.9% vs 3.2%). At the same time, pork prices, a key household staple in China, fell at a slower pace (-8.6% vs -13.7%), suggesting easing downward pressure after a prolonged supply-driven slump. The decline in egg prices also moderated (-2.9% vs -9.2%), indicating firmer demand during the holiday period. However, price declines deepened for some items, including cooking oils (-1.1% vs -0.7%) and dairy products (-1.1% vs -0.8%), likely reflecting ample supply and softer input costs.

China’s food prices fell 0.7% year on year in January 2026, reversing a 1.1% rise in the previous month and marking the first decline since October, as ample supply and subdued demand weighed on prices ahead of the Lunar New Year festivals in February. Egg prices remained sharply lower (-9.2% vs -12.7%), alongside continued declines in cooking oils (-0.7% vs -1.0%) and dairy products (-0.8% vs -1.8%), reflecting strong production and weak consumption. Pork prices, a key household staple, also stayed deeply negative (-13.7% vs -14.6%) amid persistent oversupply. Meanwhile, price growth slowed markedly for fresh vegetables (6.9% vs 18.2%) and fresh fruit (3.2% vs 4.4%), as earlier weather-related pressures eased and supplies improved before the holiday period.