What is shrinkflation? The sneaky way food companies are passing on cost increases to you

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So what exactly is shrinkflation, and how exactly is it making your grocery shop more expensive? 9News

Shrinkflation is a term for when the price of a product remains the same, but the amount of product you receive goes down.

When the Australian Bureau of Statistics calculates the consumer price index – the measure used to reflect the rate of inflation – it does so by looking at the cost of what it calls a "fixed basket" of goods and services.It's updated in a number of ways, including to account for "quality change" – where the contents of a product change, even if the price doesn't.

One example of this is value packs of Weet-Bix, which have dropped in weight first from 1.5kg to 1.2kg before going down again to 1.12kg. "It's hard to get angry at the companies themselves for this, because the price of raw commodities that go into food has been going up with everything else as inflation does," 9News finance reporter Chris Kohler explained last month.

 

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they love to screw people over, its just in their nature to rort people

this has been happening for years, you just noticed it now lol

This is common practice since years

Charge more for less, something we all learnt from the Government.

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