The cost of candy and gum rose 13.1% this year compared to 2021, putting prices at an all-time high just ahead of arguably the biggest candy holiday of all: Halloween.
Refined sugar prices have soared this year. They are 17% higher than they were back in 2021. This is a result of the drought that affected sugar crops in northern states. The same thing has happened with flour, which is 24% more expensive. Cakes, cupcakes and cookies also increased by 16%.
Inflation hits Halloween:
-Candy +13.1% this year.
-Baked goods +16%.
-Costume fabric and supplies +11%.
-Pumpkins (well, vegetables) +10%.Source: @BLS_gov pic.twitter.com/NAhweW0H7D
- scott budman (@scottbudman) October 17, 2022
Costume prices up 5.5%
Some of the most popular candies, such as Skittles, have increased in price by 42%. This increase makes it harder for families to afford candy for this year's trick-or-treaters.
Chocolate has also been affected by inflation in recent months, This is partly due to higher costs for manufacturers, supply chain chaos caused by the pandemic and the war in Ukraine. These aspects have affected the price of cocoa.
Also, National Public Radio (NPR) reported that production costs to produce clothing, such as sewing machines, fabric and supplies, increased by 11%. This directly affects the industry around Halloween. Inflation has caused clothing prices to go up by 5.5%, which could increase the cost of costumes.
The outlook doesn't look good. Most consumers expect prices to increase by 5.1% over the next 12 months. The University of Michigan surveyed consumer sentiments. Although these sentiments increased in proportion over the last six months (when inflation soared), the current sentiment, which is at 59.8% is lower than the 71.7% recorded for the same month back in 2021.
