Supermarket – Shelf prices are on “fire”

The new year has been ushered in with price increases in basic foodstuffs and household items in 2022, despite the intention of both the leadership of the Ministry of Development and the administrations of large supermarkets, to keep product prices as low as possible.

Organized food retail chains have already received new prices from their suppliers, which for many product categories have risen from 5% to 20% according to a senior domestic supermarket chain executive, and are now called upon to solve the difficult equation: to shape shelf prices without… frightening consumers.

A tsunami of price increases

From January 15, price increases are expected in flour, cheese, cold cuts, butter-margarines, dairy, cereals, pasta, coffee, sugar, olive oil, drinks, chocolates, confectionery, canned goods, baked goods, toilet paper-kitchen paper-napkins and detergents.

However, according to the data provided by supermarket chains, the increase in the final prices on the shelf in 2021, including discounts and promotions, ranged around 1.5%, while for 2022 they estimate that the “household basket” will become more expensive. by 3%.

The big thorn of energy costs

The issue of price increases was at the center of yesterday’s teleconference of the Minister of Development, Adonis Georgiadis, the Deputy Minister Nikos Papathanasis and the Secretary General of Trade and Consumer Protection, Sotiris Anagnostopoulos with leaders and executives of the country’s top officials.

From the point of view of organized retail, according to information from the Economic Post, the government was asked to support the hot issue of energy costs in order to further burden the already increased prices on the shelf.

More subsidies for electricity

In particular, it was requested to continue and possibly intensify funding in the coming months, beyond January, as energy represents about 20% of the operating costs of supermarkets.

So in order for retail companies in cooperation with suppliers to continue the effort made to keep prices on products should be strengthened as long as the situation with energy internationally does not escalate.