Romania Agric Min: Food Prices Can Go Down If Processors Reduce Profits, Retailers Lower Fees

The minister said many fees are added to products supplied by food producers and they raise prices by up to 30%-40%. He stressed it all goes down to the relation between food suppliers and stores, adding they ought to limit these fees, which are all included in food prices. According to Tabara, they should all apply and observe the Good Practice Code in food commerce and this way, both fees and food prices will be reduced.

Tabara also spoke about the need to set up again distribution chains for food products, which could lower food prices. He said prices and profit distribution should be set inside the distribution chain and added he hopes the setting up of these chains will be passed into legislation. He went on saying that, if these chains did their job properly, they could distribute profits towards food producers through negotiation and this could lower end prices.

Tabara said last week that an increase in prices of food products is ungrounded and artificial, adding food processors and those selling food products siphon off profits in the system, to the detriment of raw material producers and consumers.