December 11, 2023

Athens News

News in English from Greece

Retail price increase by 10% is coming

An increase in retail prices for products is inevitable, said Antonis Makris, president of the Association of Retailers (ΣΕΛΠΕ).

“We live in a difficult situation. It does not depend on us,” he said. “If tomorrow morning food companies only need to equalize prices (rather than win, make a profit) because of the rising cost of electricity, they will have to raise the price of all products by 5% (horizontal markup). And only competition saves both consumers and us from a sudden rise in prices.”

Businesses cannot raise their prices sharply now, because there is competition and there is an active struggle for the clientele. Unfortunately, there are no compensatory practices, he notes, while pointing out that “a 10% horizontal price increase cannot be introduced right now. You can not make a 10% markup on everything, without taking into account each specific product. However, this will happen gradually,” he stressed. “But we will definitely have price increases of this magnitude. We just don’t know at the moment at what time this will happen, and whether the price increase will stop there or go further. Nobody knows “.

“We live in a changing age where everyone must take responsibility,” said Mr. Makris, stressing that “we and our fellow citizens must consciously go step by step in the context of these events and real situations.” “When our countryman and client hears that something is happening in the socio-economic environment, you need to do this: stop and look around you, realize what is really happening,” said the president of ΣΕΛΠΕ. In other words, this means that you need to pause, hold on to the money a little, not spend it. Because hard times are yet to come.

“The economy does not stop, and the consumer must serve their needs,” the official notes. “Because 73%-74% of the products we sell are imported, and even what we consider a ‘domestic product’ is again dependent on outsiders. And in the end, it hits the consumer’s pocket,” Mr. Makris said.

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