The government’s economic team is escalating the battle against inflation with targeted interventions in basic food products and everyday consumer goods. The political leadership of the Development Ministry, headed by Takis Theodorikakos, is working intensively to contain a new wave of price increases in critical sectors such as food and the thousands of products found on retail store shelves.
Anti-inflation measures and targeted interventions for basic products
Specifically, according to information from “Apogevmatini” and Dina Karamanou, the government has decided to indefinitely extend the provision that prohibits the participation in promotional activities of any product that has undergone a price increase during the previous quarter. This measure, which is in effect until the end of October, will continue to protect consumers from practices that exploit price increases.
At the same time, the Development Ministry is proceeding with specific actions to reduce the cost of basic products. For beef, more economical commercial agreements are being sought in the international market, as 80% of cattle comes from imports mainly from Germany and the Netherlands, while only 20% constitutes domestic production.
Regarding coffee, ministry officials are negotiating with retail business executives to increase offers for the benefit of consumers.
Agreement for stable prices on school supplies
The first agreement concerns school supplies, with Development Minister Takis Theodorikakos announcing the commitment of supermarkets to maintain stable prices.
“In the coming days and weeks, families with school-age children have the prices of school supplies at the center of their interest. After a meeting I had with supermarket representatives, they undertook the commitment that prices on school supplies will remain stable compared to 2024. It is undoubtedly a positive development that I hope will be followed by other businesses as well,” stated Takis Theodorikakos.
The agreement aims to serve as a model for all businesses that trade in stationery and school supplies, with the goal of ensuring affordable prices for students at all levels.
Continuation of measures for basic food items
We continue the same effort with new initiatives, market controls and new measures that we will announce for all basic food and living items in the coming period, with the aim of containing the cost of living and increasing families’ disposable income,” emphasized the Development Minister, setting the tone for the continuation of the series of meetings with retail and industry executives.
Positive response from retail trade
Supermarket entrepreneurs, who recorded satisfactory results during the summer period, appear willing to cooperate with government efforts. The director of the Hellenic Supermarket Association, Apostolos Petalas, points out that food inflation remains lower than the European average.
“Already in recent months, food inflation is lower than the EU average. There is great restraint in retail trade because the consumer has been financially pressured and no one can make increases,” says Apostolos Petalas, director of the Hellenic Supermarket Association, adding however that an unpredictable factor lurks. “The climate crisis globally is showing its teeth. We expect price increases in olive oil, fruits and vegetables, but this phenomenon is not only domestic, it is international. However, the chains have no other margins for price increases, their financial results are under pressure, despite the help from foreign visitors who this year preferred to shop at supermarkets instead of visiting a restaurant for their meals.”
The pressure on consumers was also reflected in the results of summer sales, where 6 out of 10 businesses recorded reduced sales despite discounts above 30%. The highest shopping activity was limited to the first half of August, a fact that is connected to the lack of liquidity and the timing of vacation allowance payments.
