Food prices in supermarkets continue to reach very high levels and exceed the increase in production costs.
This applies to fruits and vegetables, which, according to DECO PROTESTE, were the group that grew the most in percentage terms, reaching 34.16%. From February 23, 2022 to March 1, 2023, the price of a package of fruits and vegetables has risen by 8.06 euros.
Also Department of Food and Economic Security (ASAE) calculated the cost of a basket of staples and found an increase of approximately 30%, plus €21.54 on the invoice..
According to INE, despite falling global inflation for the fourth month in a row, food prices are 20% higher than a year ago, before the start of the war in Ukraine.
The economy minister this Thursday assured the Portuguese that the government would not tolerate “anomalous situations” in the face of food prices. A plan was put in place to deal with unjustified increases, intensifying ASAE price fabrication inspection activities that cover manufacturers and large-scale distribution in effect this morning, as part of an operation that involved 38 crews across the country.
Price speculation profits the bosses
In this regard, the ASAE is intervening and monetary procedures and penalties have already been introduced.
Since the beginning of the year, 51 criminal proceedings have been initiated on facts of food price speculation in supermarkets and hypermarkets, on inspections of 960 operators and 91 cases of administrative offense, nominated by ASAE Inspector General Pedro Portugal Gaspar.
For onions, as well as for eggs, oranges, carrots and pork ribs, profitability of more than 50% was found with margins ranging from 40% to 50%.
ASAE Target Pricing Scheme
4.2% of establishments charge more for boxed products than what is listed on the shelf. 256 Retail sector operators were audited by the ASAE between January and February 2023, indicating consumer dishonesty.
remember, that In June, the Competition Authority (AdC) had already fined supermarkets Auchan, E. Leclerc, Modelo, Continente and Pingo Doce, as well as general supplier Unilever, more than €130 million for a consumer price fixing scheme.