The memorandum on food price reduction in stores could begin to take effect this month, Minister of Economics Viktors Valainis (ZZS) said in an interview with Latvian Radio on Monday.
He admitted that the initial expectations – hoping that the effects of the memorandum would be seen within two weeks after its signing – were overly optimistic.
At the same time, the minister stated that the ministry now has specific dates when retailers plan to introduce discounted shopping baskets in stores, but these cannot be disclosed as they constitute commercial information.
VALAINIS DID REVEAL THAT MOST CHANGES ARE PLANNED FOR JUNE.
According to the minister, the discounted basket will likely include around 50 products.
“Right now, very active work is underway,” said Valainis, adding that much of the government’s preparatory work has been completed and they are now waiting for the memorandum to be implemented in retail locations.
As previously reported, the memorandum on reducing food prices was signed on May 27 this year. It provides for the introduction of a low-price food basket, a price comparison tool, and an increase in the share of locally produced goods in stores.
The low-price basket will ensure that in ten product categories, at least one product in each will be offered at the lowest price in that category. These products will be regularly rotated with others from the same category.
Meanwhile, the price comparison tool will require retailers to submit daily data on their lowest prices to the Central Statistical Bureau (CSB), which will publish the information. The data will be accessible via various comparison tools and will also be published on the Ministry of Economics’ website.
However, implementing the comparison tool will require amendments to the Consumer Rights Protection Law to oblige retailers to provide this information to the CSB.
The memorandum also includes provisions for campaigns promoting local food products.
The memorandum was signed by Valainis, Executive Director of the Latvian Food Traders Association Noris Krūzītis, Chairman of the Board of the Latvian Chamber of Commerce and Industry (LTRK) Jānis Endziņš, and Chairman of the Board of the Latvian Dairy Farmers’ Central Union Jānis Šolks.
It was also signed by Chairwoman of the Council of the Latvian Food Producers Federation Ināra Šure, Chairman of the Board of the Cooperation Council of Agricultural Organizations Guntis Gūtmanis, Chairman of the Farmers’ Parliament Juris Lazdiņš, Director of the Consumer Rights Protection Centre Zaiga Liepiņa, and other partners.
The Ministry of Economics aims to achieve a 20% price reduction in essential food product groups and increase the share of Latvian-made food products in stores.