The coalition government has a new open front, United We can claim a 14.4% discount on the basic shopping basket and also cap the price of food, measures that have been ruled out last week by the head of Agriculture, Fisheries and Food, Luis Planas and other socialist ministers. This is the scenario in which the Government analyzes this Monday with supermarkets, distribution, industry and the primary sector in the Food Chain Observatory, the historical evolution of food prices and the impact of the VAT reduction in certain products, approved by the Executive a month ago to alleviate the blow of inflation in homes.
Specifically, the head of Agriculture, Luis Planas, will preside over the plenary session of the Observatory at the headquarters of the Ministry of Agriculture, after convening it with extraordinary character last Wednesday after learning that food inflation reached 15 .4% last month, three tenths less than in December, after the VAT reduction applied to certain products in the shopping cart.
In this way, the representatives of the food chain will address the evolution of food price data, after the reduction of VAT from the reduced rate from 4% to 0% on bread came into force on January 1 , flour, milk, cheese, eggs and fruits and vegetables, while pasta and oils went from being taxed at 10% to 5%.
Find the right balance
An Observatory whose objective is to achieve a correct balance between the different links of the food chain, thus being able to guarantee fair, loyal and effective competition, favoring the transparency and efficiency of the marketing process.
Planas has recognized in the days prior to this meeting that the food chain has “behaved correctly.” “Everyone is doing what they should do, but we want prices to decrease,” he stressed. “My message for this meeting is clear. First, thanks to everyone’s good functioning and work. Then to see the analysis that each link in the chain makes of the situation and ask and insist that each one do their part to ensure that the Food prices continue to decline,” he said.
On the table at the meeting, in addition to the evolution of food prices, agricultural organizations and some other sector will demand that Planas be included in the list of products with lower VAT on meat and fish, something that the minister has been ruled out for the moment, alleging that the measures adopted by the Government are sufficient.
In addition, the head of Agriculture has also ruled out last week the latest proposal made by Podemos to deploy a 14.4% bonus for the basic shopping basket, as well as to cap food prices. The use of this measure would be combined with a control of fixed prices by supermarkets on a weekly basis, and the imposition of fines for those distribution chains that took advantage of this subsidy to improve their profits.
For his part, the general secretary of UPA, Lorenzo Ramos, already advanced last Thursday that they will claim at this meeting that “farmers and ranchers are not responsible for the increase in food prices.” “Here is someone who is earning a lot of money and who is being investigated and really seeing who is taking it along the chain,” denounced Ramos, who called for “clarity and transparency” throughout all the links in the chain. food.
For its part, distribution has registered that inflation is due to a “serious problem” of costs that affects the entire value chain and not a question of margins. In the last year, the sharp escalation of energy and basic raw materials for food production led to a rise in prices.
Sources from the sector consulted by Europa Press have recalled that the distribution in these months has carried out a “heavy investment” in promotions and discounts, a review of the shelves to adapt the offer to the reality of homes, a boost to brands in order to appreciably cushion and throughout the year the increase in prices that are taking place in the food industry and the primary sector, which are highly stressed by this historic cost crisis.
Representation of all the links in the chain
In this way, on Monday the professional agricultural and cooperative organizations (Asaja, COAG, UPA and Cooperativas Agro-alimentarias de España), the National Federation of Fishermen’s Associations, representing the fishing sector, will be represented in this forum, while for the agri-food industry will be in the Spanish Federation of Food and Beverage Industries (FIAB).
Representing commercial distribution will be the National Association of Large Distribution Companies (Anged), the Spanish Association of Distributors, Supermarkets and Supermarkets (Asedas), the Madrid Association of Wholesale Fruit Entrepreneurs (Asomafrut), the Spanish Confederation of Meat Retailers (Cedecarne), the National Confederation of Wholesale Fruit and Vegetable Companies of Spain (Coemfe) and the National Federation of Businessmen, Consumer and User Cooperatives (Hispacoop) and the National Civic Union of Consumers and Housewives (Unae ) ).
However, some self-employed organizations, such as Uatae, have requested their presence in this forum, since they consider it necessary for local businesses to be represented, as well as the voice of the self-employed, merchants, farmers and transporters.
