The recent devastating flood in Queensland has led to a dire situation for consumers planning to celebrate Christmas in Australia. This natural disaster has forced the prices of a variety of food items, including vegetables, fruit, and seafood, to soar. This adds to the already existing cost of living crisis that has resulted in significant price increases in food and other necessities over the past few years.
The recent heavy rainfall in Far North Queensland, with some areas receiving up to 2,000mm of rain, has led to severe flooding in many agricultural areas. This has caused widespread destruction and loss for farmers, with crops being destroyed and washed away. In addition, power outages caused by the flooding have made it impossible for farmers to preserve their harvest. The Queensland Farmers Federation CEO painted a grim picture of the situation, predicting catastrophic financial losses for producers and foreseeing a summer fruit shortage.
The impact of the flooding has been particularly devastating for mangoes, with entire orchards being flooded, trees uprooted and washed away, and power outages affecting cold rooms where fresh fruit has been stored. In addition, popular seafood products, such as prawns and barramundi, have also suffered as a result of the heavy rain.
This comes at a time when a study by Deakin University has found that grocery costs have continued to rise for Christmas. Groceries such as potatoes, frozen vegetables, milk, and cheese have become more expensive, while traditional Christmas fare such as ham and seafood, while slightly cheaper than last year, are still on the expensive end. The price of chicken has also continued to rise, all of which is expected to put pressure on consumers.
The study pointed out that whilst some fruits and vegetables were cheaper than last year, many products in the bread and dairy categories have experienced price increases of between 5 and 8 percent. Consumers are advised to remain cautious, plan ahead when shopping, look for food that is in season and cheaper, and avoid unnecessary purchases during the festive season. Additionally, new insight from the National Australia Bank showed that six in ten Australians would change their spending habits this Christmas to cope with rising living costs.