During the first half of January products and services in Mexicali kept increasing in price, according to media reports.

The annual inflation rate reached 8.17 percent — the highest in 22 years, La Voz newspaper reported.

Based on figures reported by the National Institute of Statistics and Geography, the newspaper said prices increased 0.57 percent in the first two weeks of the month. However, food increased annually 13.28 percent.

Economic Studies Center President Roberto Valero told the newspaper price increases have been caused by the distribution and production chain issues and climate change, as well as the increases of taxes and the minimum wage.

Also, the upcoming Super Bowl and Christmas helped or will help increase prices, Valero said.

The largest increase was observed in limes, whose price increased 215.79 percent, while avocado prices climbed 69.92 percent.

During Christmas, the country observed a scarcity of meat as production was exported to the US, which led prices to increase 22.13 percent.

Potatoes, corn tortillas, chicken, bread, milk and eggs reported price increases of up to 26.67 percent.

In the meantime, government services also reported an increase of 5.33 percent.

Valero expects price increases will impact consumption and economic recovery in Mexicali.

Item prices have been climbing in the last three months and are expected to keep the same path at least for the first half of the year. Yearly inflation increased 7.81 percent in November, 8.11 percent in December and 8.12 percent the first half of January.

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