Skopje, 9 October 2023 (MIA) — None of the groceries with "guaranteed price" labels will be taxed more than five percent, Minister of Economy Kreshnik Bekteshi said Monday.

Speaking to the press after a conference on investments in the Macedonian economy, Bekteshi told prices of basic food products could only drop.

Despite the expected VAT increase on some products, he said, "there is no chance that food inflation will rise."

"I assure the public that if there are technical errors in the Ministry of Finance's list of products with higher VAT, they will be corrected by tomorrow," Bekteshi said.

"This morning I reviewed some products from the list," the economy minister added. "I will read the entire list later in the day and if needed, at tomorrow's government session, we, the Ministry of Economy, will state our position."

The government's two decisions to introduce "guaranteed price" labels and to increase VAT on some products may seem contradictory, he said, but the price cuts were made based on detailed analyses.

He pointed out that food prices could decrease even more by late November or December.

"The basic food product prices covered by the 'guaranteed price' decision may only be cut. They will not be raised. There is no option for making these [products] more expensive," Bekteshi said.

Regarding the governmental decision on fruits and vegetables, he said it had been changed.

"There is no full price freeze here because we lifted customs duties for southern fruit and other produce," he said, voicing confidence that food inflation would continue to drop. mr/