Sept inflation remains steady

Italy's year-on-year inflation rate was steady at 3.2% in September, though the so-called 'trolley' of most frequently bought goods rose by 4.7%, Istat said Friday in its preliminary estimates. The increase compared with a 0.1% inflation rise in August and a 4.2% increase in prices in August for the more commonly purchased goods. The increases in inflation are leading most Italian families to revise spending to better fit their budgets, agricultural association Cia said in a statement. In a separate report Friday, farmers' association Coldiretti said 21 million Italians about a third of the national population - are increasingly using farmers' markets to get cheaper produce to preserve family budgets. The trend was helping keep inflation down, Coldiretti said. Petrol prices in the month rose 20.2%, whilst diesel gained 21.7%. General foodstuffs advanced 2.9% because of this, as transport costs contribute as much as 40% on food and drinks prices and as much as 90% on vegetables. Fresh vegetables gained 10.5% in the month of September, whilst meats rose 2.2%. Cia said none of the benefits from the price increases fed through to producers, as they were bearing the brunt of recent increases in producer prices totalling 9.5% in July. In addition, vegetable producers only receive 18% of the total price from consumers.