Increase in feta prices as a result of reduction in livestock numbers

Experts note that a significant decrease in livestock numbers due to zoonotic diseases, as well as the abandonment of herds due to the difficulties faced by livestock farmers, have become one of the reasons for the rise in feta prices.

At the same time, goat and sheep breeders are actively negotiating with industrialists about the new dairy season and the production of feta. According to a report from the Consumer Research Institute, production costs continue to riseespecially after a dry summer that reduced grazing areas and forced farm owners to buy more feed.

The Competition Commission conducted a study competitive conditions in the feta cheese market. Its representatives published results, highlighting that feta accounts for just 2% of total sales across 11 supermarket chains. The main objectives of the study were:

• Evolution of market shares of the 11 largest supermarkets;

• Dynamics of the shares of suppliers (private labels and branded products) in sales of 11 supermarkets;

• The impact of the market basket mechanism on prices for branded and private label products;

• Assessing the impact of the consumer basket mechanism on the purchasing habits of citizens after comparing branded and private label products (within and outside the Family Basket).

The Directorate-General for Competition sent questionnaires to 11 supermarkets, which account for more than 95% of the food retail sector. Data was collected for the period from February 1, 2023 to June 30, 2024. The main findings of the study are as follows:

• In 2023, total sales of feta in supermarkets amounted to €244.1 million, showing an annual increase of 13.8%. In the first half of 2024, sales growth slowed to 3% year on year.

• There are about 150 suppliers of feta. At the same time, the 13 largest ones provide 70% of all sales.

• In 2023, branded feta accounted for 80% of total market sales and private label products accounted for 20% (inside and/or outside of the Family Basket). The top 12 suppliers accounted for 73% of all feta sales by value, while feta segment under its own brand the 13 largest suppliers accounted for 93%.

• About 10% of total feta sales in 11 supermarkets come from feta sales under the Family Basket promotion.

• The most low prices for feta recorded in the category of goods under its own brand under the “Family Basket” promotion, at prices from 7.2 to 9.4 euros without VAT or from 8.1 to 10.6 euros with VAT.

• The most expensive prices for feta were observed in the category of products in branded packaging, excluding the Family Basket promotion: the average price was about 13 euros without VAT or 14.7 euros with VAT.

Citizens mostly prefer branded feta (about 82%). However, during the reporting period from February 2, 2023 to June 6, 2024, there was a shift towards private label products. This trend began in 2022 and continued into 2023 and the first half of 2024. “Family Basket”does not seem to have affected consumer preferences, but except in rare cases on holidays and summer. According to ertnews, Greece occupies one of the last positions in the ranking in terms of consumer preference for products under its own brand.

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