Filenews 21 June 2024
An increase was recorded in May, compared to the previous month, in 27 categories of basic products, out of a total of 45 categories, of which 11 at a rate of more than 2%, while 14 categories showed a decrease and another four categories no change, according to Consumer Products compiled by the Consumer Protection Service of the Ministry of Energy, Commerce and Industry.
In an announcement, the Consumer Protection Service of the Ministry of Commerce states that the purpose of the Observatory presents the weighted average price for 250 basic consumer products (food and other products) based on the quantities and prices per day, in which these products were sold in 400 retail stores throughout Cyprus throughout the month and its purpose is to provide the consumer with an objective comparative depiction of purchase prices from all retail stores, supermarkets, bakeries, bakeries, kiosks, etc.
According to the Service, the assessment made for May shows that the continuous increase in inflation from 1.2% in March to 2.4% in April and 2.7% in May, as a result of the increase in fuel prices, due to geopolitical developments and the increase in inflation in the food sector, is reflected in the prices of several product categories recorded by the observatory.
In particular, it states that food inflation reached 1.82% in the period January – May 2024 compared to the corresponding period last year and is mainly due to the increase recorded by agricultural products by 6.27% compared to the previous month and 2.84% compared to the previous year, while the change in petroleum products reached a rate of 10% compared to the previous year.
According to the Consumer Protection Service, the most significant increases in May compared to the previous month were recorded for frozen molluscs/shellfish by 23.1% (+12.3% vs May 2023), fresh meat by 7.9% (+11% vs May 2023), fresh fish/molluscs by 4.5% (-17.5% vs May 2023), vegetables and greens by 3.5% (+8.3% vs May 2023), oil by 3.2% (+3.9% vs May 2023), legumes by 2.8% (+7% vs May 2023), eggs by 2.8% (+0.6% vs May 2023), pasta by 2.7% (-1% vs May 2023), frozen fish by 2.6% (-2.9% vs May 2023), fabric softeners by 2.2% (+11% vs May 2023), bagels by 2.3% (-1.0% vs May 2023) and flour by 1.7% (-8.0% vs May 2023).
Besides, a large decrease compared to May 2023 was also recorded by vegetable cooking fat by 14% and LPG cylinder by 7.5%.
Compared to the previous month, a decrease was recorded in 14 product categories, mainly broth by 3,3% (+0,7% vs May 2023), frozen bread/precooked fish by 3% (-2,4% vs May 2023), frozen burgers by 3% (-2,9% vs May 2023), yogurt by 1,9% (-1,7% vs May 2023), toilet paper by 1,8% (-10,4% vs May 2023), frozen pasta by 1.7% (-14.4% vs May 2023), soft drinks by 1.6% (+6.0% vs May 2023), cold cuts by 1.4% (-1.8% vs May 2023) and sugar by 1% (-15.2% vs May 2023).
At 2% the difference between cheaper and more expensive basket in 3 supermarkets in Limassol
Moreover, the Consumer Protection Service of the Ministry of Commerce states that in the context of continuous monitoring of the market and recording trends as they evolve from international and domestic conditions, it has again recorded on 17/6/2024 the prices of 52 common and very important for the household products in three supermarkets of Limassol.
According to the Service, the difference in the value of the most expensive basket from the cheapest amounts to 2.0% or €230.90 compared to €234.76 with the middle basket ranging to €231.17.
He adds that the benefit to the consumer from the application of the zero VAT rate to the 11 products covered by the measure amounts to between €6.55 – €7.41 in total purchases worth approximately €80 depending on the supermarket.
The Consumer Protection Service states that it "continues intensively the checks on the implementation of the zero VAT rate measure, recording prices of 88 products from all categories approved, in nine different supermarkets in 58 points of sale nationwide".
"Today's assessment from the implementation of the measure, based on the results of the controls, is that it has a positive effect on prices and, by extension, on inflation, as long as prices are contained," he says, adding that "in about 70% of products, prices have remained at the levels of May 5, when the measure was implemented."
Citing the results of the latest audit conducted on June 14, 2024, the agency said that "compliance is universal with deviation rates for milk, eggs, sugar, coffee, nappies and vegetables at 70-100%, and for other products at a lower rate."
Finally, the Consumer Protection Service clarifies that the Price Observatories are prepared solely for consumer information purposes and in no way constitute advice and notes that "the Price Observatories are not intended nor can they replace the market research, which each consumer must do based on his own preferences, data and needs, nor are they intended to indicate to consumers which points of sale to choose or specific products'.
"Some of the products included in the Observatory have quality differences that cannot be determined," says the agency, which urges consumers to do "substantial market research before making purchases, taking into account the results of this Observatory."
