Montenegro says government could have acted sooner but welcomes ASAE inspection

SDP President Luis Montenegro this Thursday felt the government could have acted earlier in regards to scrutiny of rising food prices, but welcomed the investigation by the Food and Economic Security Authority (ASAE).

“I think that I could have acted earlier, but I want to say this with complete frankness and directness. I fully welcome this initiative,” said Luis Montenegro.

The PSD President spoke to reporters at the end of his visit to the Madeira International Business Center in the Caniçal district.

“This is a good initiative, it is important that the inflationary process that we are seeing and which had a completely extraordinary 2022, but which had already begun in August 2021, cannot be ground for speculation and undue income, unjustified and unfair,” he defended.

Luis Montenegro said he hoped “there is a definition of liability” and “if applicable, the application of penalties” that could serve “to ensure that the government has more sources of income for a social program that can accurately compensate people for such be abused.”

ASAE filed 51 criminal cases for profiteering through inspections of 960 operators and found profits from onions exceeding 50%.

These findings are part of the body’s latest analysis on rising food prices, which was presented this Thursday at a press conference at the Ministry of Economy and the Sea in Lisbon.

ASAE has also filed 91 administrative offense cases as part of these actions, which have been ongoing since the second half of 2022.

Based on a crossover between purchasing from a retailer to a supplier and selling to a consumer, ASAE determined a margin of 30% in products such as “white sugar, vegetable oil and sea bream”.

Already with a profitability of 30% to 40%, canned tuna, milk and cabbage appear.

This is followed by products such as eggs, oranges, carrots and pork steaks, with a markup of 40% to 50%. A bow stands out above this field.

SDP President Luis Montenegro is in Madeira for the 1st SDP Inter-Parliamentary Meeting, which took place this Thursday and will end on Friday in Funchal.