Cheap energy and fuel also have a positive effect on food prices. And experts also mention them, according to which another price shock is not yet in sight. However, this year’s harvest of Czech growers will depend on the types of fruits and vegetables selected.
For Czech families it is undoubtedly good news that VAT on food products has been reduced by 3% since January. And despite the voices of some skeptics, according to economist Štěpán Křeček, this has had a really positive effect on price tags in shops.
“The discount was evident in all supermarkets I visited since the beginning of the year. Some retail chains also used it in their marketing. How much cheaper the goods have become can be seen from the price tags,” recalls Křeček .
”And sellers have been so constant in their overvaluation that already in shops we see prices calculated by single cents, whereas before it was common to see 90 Baťa cents behind the decimal point,” explains the economist. Official confirmation that the price reduction has been widespread will only come with inflation data from the Czech Statistical Office for the month of January.
But even in the rest of the year we should not encounter any unpleasant surprises in the shops. The prospects are entirely positive. “For example, the prices of agricultural products have been falling for seven consecutive months and the low cost of fuel has also had its effect,” says Křeček. Their prices in the Czech Republic are already lower than in Poland and can be included, for example, in food transport prices.
“How much we will pay this year for some fruits and vegetables will also depend on the harvest of Czech farmers. However, there is no reason why dairy and meat products will become more expensive. I expect that the food inflation is around zero,” Tomáš Prouza, president of the Association for Trade and Tourism, told TN.cz.
Government can reduce food prices, economists say. There is no way, the minister defends himself (5/12/2023):
TN.cz
2024-01-18 04:40:00
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