Rising dairy prices continue to affect supermarket costs

The latest Infometrics Grocery Supplier Cost Index shows annual supermarket cost inflation reached 2.1 percent in January.

Just over 1400 items increased in cost, compared to December.

Principal Economist Brad Olsen says bakery and chilled food goods are up three percent from last year, due to higher dairy inputs.

He says milk, cheese and cream costs have higher prices globally, pushing the domestic prices up.