Grocers have had to increase their prices as a result of rising fuel and food costs world-wide.

As part of a series looking at how international events are impacting your food bills The Royal Gazette spoke with members of senior management at the three shops we visited last week. The men all said prices had increased more in the last year due to rising fuel and food costs.

They also shed light on why the same items are priced differently at various stores.

Zach Moniz of Lindo's said: "We have most certainly been impacted by external economic issues. As a result of rising energy costs our operating costs have increased. Freight charges have risen driving up the cost of importing goods. In general the cost of doing business has increased.

"Our prices have risen on most things. We have had to raise prices because the cost of the items coming from both the local and international vendors has risen. Our price structure has not changed but our prices change as the cost of items changes. However, items are still affected by regular market forces like supply and demand and our prices will fluctuate up and down as the cost fluctuates."

And a spokesman for the Market Place said costs fluctuated between stores for a variety of reasons. Some choose to keep certain items at a lower price to be competitive, while others offer specials on the items.

"There is also the factor of when the items were purchased," he said. "If we bought a container of Honey Nut Cheerios a month ago at a certain price, we will sell it according to that. Another store may have just bought a container of the same item but more than the course of the month the price has risen, so you would see that their price is higher than ours. It can really depend on the price of the goods at the time you purchased them.

"We used to see that prices changed on a monthly basis, but at the moment they are changing every week so that can really impact the prices of various goods at different stores."

He added that a wide variety of goods are being impacted and for a variety of reasons.

"As well as fuel prices we have seen the price of goods like corn rise because it is being used to make biofuels. Corn is used in a wide range of products and to feed chickens, so you are seeing the price of eggs rise.

"And as a response to high prices for corn some farmers are choosing not to grow wheat and instead grown corn, which is causing the cost of wheat to rise.

"But ultimately it is fuel, judging by the last few months. The price of electricity for our store will probably rise $400,000 compared to last year."

Tredick Gorham, president of the Supermart, said the trend was one being seen around the world.

"There are a variety of reasons, the main one being fuel prices which are driving up transportation costs," he said. "Prices are going through the roof on some items and there is not a lot we can do about it. Costs have gone up four percent, if we don't pass that on to the customers then the dollars we have to buy the next lot with won't be there, so we have to pass it on."

He added that items from the UK or Europe also cost more because of the weak American dollar.