The price of food in Finland is rising faster - and at a faster rate - than in the rest of Europe.
In Finland, the overall price of foodstuffs went up 6.7 percent in March, compared to same time last year. In Sweden the increase was 1.4 and in France a little over 2 percent, according to business publication Taloussanomat.
The price of grain has risen sharply on world markets - but this does not explain why prices in Finland are rising faster than in other countries.
The reasons behind the increase
Changes in tax policy is one of the reasons for the rising prices of foodstuffs in Finland, according to research director Perttu Pyykkönen at research organisation Pellervo.
"Last summer the government increased the VAT and the beginning of the year there was an increased tax on sweets," Pyykkönen said.
In addition, world prices of coffee and cocoa have risen by 40 and 20 percent respectively. Rising energy prices may also be responsible, Pyykkönen suggested.
Researcher Reijo Mankins from the research organisation Etla said that Finland's location and climate is one of the reasons for the disparity. For example, in Sweden a lot of produce is grown in the south where it is warmer, Mankins explained.
Who takes home the profits?
Pyykkönen said that the growers' and farmers' profits have not risen in pace with the price increases. He also dismisses the possibility that new wage agreements have not yet affected the figures since they were signed in April.
According to Mankins, it is possible that the food market industry increased its share of the profits.
However, he pointed out that competition in the foodstuffs market is fierce and profit margins are relatively small.
Source: Taloussanomat