Recorded food prices continue to trouble Czech families. Much-anticipated surveys of retail chains have yet to yield any results. Prime Minister Petr Fiala (ODS) believes the market will help. He received harsh criticism from the opposition and trade unions for his remarks on his online show Q&A from Kramář’s villa.
“Yes, I will ask that again, intervene, start fixing prices, remove VAT from food products. The only effect will be shortages. We will approach this with sound economic policy and use the tools that the government has, but at the same time let the market work,” Prime Minister Peter Fiala said in his Announced on the web project.
Fiala’s position was endorsed by his ministers. “I agree with the prime minister’s position. We have to fix the market. Unfortunately, the market environment went a little wrong last year,” said Agriculture Minister Zdeněk Nekula (KDU-ČSL).
According to experts Petr Fiala, with the arrival of spring and warmer weather, production costs for food producers will decrease, Czech farmers will begin to deliver their products to the market and food prices will begin to decrease. “Petr Fiala basically named a situation to be expected, which was expected months ago,” said agricultural economist Petr Havel.
“In a market economy, the market determines prices. The state doesn’t have many opportunities to intervene in the market environment,” said MP Michael Kucera (TOP 09).
“It’s been a year that the government should have done something. Meanwhile, there is 15 percent inflation, and within two years there will be a 28 percent rise in prices. Governments are to blame for that. Past and present”, criticized the government’s actions. , union leader Joseph Stradula.
“The market will sort it out, but the prices will remain the most expensive food in all of Europe,” Karel Havlicek (ANO) MP added to the review.
According to Petr Fiala, the government’s pressure on merchants and farmers can be considered a success. “And I think now is the right time for food prices to start coming down,” Fiala added.