The Easter Bunny faces rising inflation

With all the talk about rising commodity prices and food inflation, spare a thought for the Easter Bunny this year.

Class IV milk, which is used to produce butter and milk powder, has risen by 67% to around $US25 per hundredweight. Class IV milk prices are now at record highs. Raw sugar has risen from $US15.75 to $US20.31 per pound, while the price of cocoa has risen from $US2,472 per metric ton to $US2,667.

Prices of milk, raw sugar and cocoa - like many other commodities – have ratcheted higher following pull-back of supply following pandemic lockdowns in 2020. With economies re-opening, demand has shifted higher for many commodities, resulting in higher prices.

The Firetrail Chocolate Index, which represents the average performance of the three commodities, has risen by 32% since the start of 2021.

Rumours that the Easter Bunny will be substituting chocolate Easter eggs for fruit appear unfounded, much to the delight of kids (and adults) across Australia.

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