China’s food prices rose 1.7% year on year in February 2026, reversing a 0.7% decline in the previous month and marking the fastest increase since October 2024, largely driven by stronger demand during the Spring Festival holiday. Festive consumption typically boosts purchases of fresh produce and meat, leading to a temporary pickup in food inflation. Price growth accelerated notably for fresh vegetables (10.9% vs 6.9% in January) and fresh fruit (5.9% vs 3.2%). At the same time, pork prices, a key household staple in China, fell at a slower pace (-8.6% vs -13.7%), suggesting easing downward pressure after a prolonged supply-driven slump. The decline in egg prices also moderated (-2.9% vs -9.2%), indicating firmer demand during the holiday period. However, price declines deepened for some items, including cooking oils (-1.1% vs -0.7%) and dairy products (-1.1% vs -0.8%), likely reflecting ample supply and softer input costs.

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