School year 2023: school supplies spending to rise 40% this year

This 2023 back-to-school campaign registers Prices higher due to inflation and social turmoil, according to a report from the Lima Chamber of Commerce (CCL).

With this in mind, it has been calculated that the price of a school basket containing both tools As for student clothing, it will grow by 30-40% compared to pre-pandemic levels.

“This limits the purchasing power of families, who will be forced to do without some of the products that make up school basket such as supplies, texts, shoes, workwear and uniforms,” commented Rodolfo Ojeda, President of the CCL Small Business Guild.

This basket contains 20-30 items per student, but how much does it cost? The cost of these school supplies ranges from SGD 200 to SGD 800, according to a union representative.

“This includes a complete set between tools and school books, shoes (sneakers) and uniforms (divers); and although the number of articles was reduced due to the problem of educational virtuality, the value of these products grew,” he said.

That spending does not include pensions, which the Education for the Future group says will rise by an average of 9% this year at most private schools.

How much does the school campaign represent for mypes?

CCl points out that this year’s school campaign could represent 20% of micro and small business (mypes) annual sales, less than the 30% it previously represented.

In addition, at this stage they warn that sales mypes in this campaign “didn’t fly” because they would have only reached 700 million S/, which is 50% less than in 2019.

Another problem that mypes faced is funding, as payments for working capital of microfinance institutions would be reduced by 50%.

“For example; In 2019, municipal savings banks provided school campaign about 3500 million Singapore dollars. However, this year this figure will barely reach SGD 1,750 million, given that financial institutions are more cautious due to political uncertainty,” Ojeda said.

Faced with this situation, they note that most mypes have decided to lower the price of school supplies in order to cover their fixed costs such as rent, wages and others.