The reduction of VAT on meat and fish, among the demands that will be put on the table
MADRID, 19 Feb. (EUROPA PRESS) –
The Government analyzes this Monday with supermarkets, distribution, industry and the primary sector in the Food Chain Observatory the evolution of food prices and the impact of the VAT reduction on certain products, approved by the Executive ago a month to alleviate the blow of inflation in homes.
Specifically, the Minister of Agriculture, Fisheries and Food, Luis Planas, will preside over the plenary meeting of the Observatory at the Ministry of Agriculture headquarters at 11:00 a.m., after convening it on an extraordinary basis last Wednesday after learning that inflation in prices Food reached 15.4% last month, three tenths less than in December, after the VAT reduction applied to certain products in the shopping basket.
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%.
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 the good functioning and work of everyone. Then listen 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 achieve that 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 deployment of this measure would be combined with a control of the prices set by the 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 that it be investigated and it is really seen 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 recalled 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 increase in energy and basic raw materials for food production (up to triple digits for cereals, fertilizers, cardboard, glass or plastic) have pushed the costs of all value chains to the limit and caused a price rise.
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 under great stress due to this historic cost crisis.
In this way, on Monday the professional agricultural organizations and cooperatives (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 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 Retailers of Meat (Cedecarne), the National Confederation of Wholesale Fruit and Vegetable Companies of Spain (Coemfe) and the National Federation of Retail Entrepreneurs of Fish and Frozen Products (Fedepesca), while representing consumers will be the Spanish Confederation of 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.
