Surging prices spark retailer boycott, market inspectors step up checks
- Fanned by calls for boycott shared on social media, citizens are expected on Friday to stay away from shopping in supermarkets in protest against surging prices of foodstuffs. The calls for boycott of shops nationwide came following last week’s daylong boycott in Croatia. The move is expected to expand across the region to include Serbia, Bosnia and Herzegovina, Montenegro and Slovenia.
Skopje, 31 January 2025 (MIA) - Fanned by calls for boycott shared on social media, citizens are expected on Friday to stay away from shopping in supermarkets in protest against surging prices of foodstuffs. The calls for boycott of shops nationwide came following last week’s daylong boycott in Croatia. The move is expected to expand across the region to include Serbia, Bosnia and Herzegovina, Montenegro and Slovenia.
Support came largely from the public, as well as both from the ruling and opposition parties, while competent institutions have announced rigorous inspections in markets and other shops and an immediate response on the ground.
Prime Minister Hristijan Mickoski expressed understanding for the boycott, calling for stepped-up controls and measures against vendors who flout the law as well as measures to protect living standards.
At a Q&A session in Parliament on Thursday, the PM said the Government wouldn’t allow “individuals to abuse their positions and profit off of the backs of the citizens”.
“The situation we inherited is alarmingly cataclysmic. There are different ways of dealing with the challenges, capping prices, capping profit margins, capping distributor margins... The first thing we did is implement the law banning unfair trade practices. We spoke with producers and the economic chambers to avoid implementing offensive restrictive policies, and to instead have a consensual approach, as a result of which we created the New Year’s consumer basket,” Mickoski said.
However, he noted, based on the testimonies of the citizens, some producers, distributors and markets were using tricks which have led to increased prices for some products.
“Some producers tried to justify this by saying prices on the exchanges have risen, but we checked and saw that this isn’t the case. Through our analysis of the consumer basket we concluded that perhaps this campaign should be expanded, because it seems we forgot the pharmacies, the pensioners are right to be dissatisfied. This campaign will receive its second half and I urge the owners of pharmacies to consider this, and there will also be a third half with white goods chains,” Mickoski stressed.
The PM said the Government is planning to reduce parafiscal charges in the coming period to influence a drop in prices.
In a social media post Wednesday, Minister of Economy and Labor Besar Durmishi voiced support for the announced boycott of markets on Friday, noting that the citizens and consumers have the right to choose how and where they spend their money.
“We support the citizens especially in boycotting the markets that enormously increased the prices of products over the past years without any economic logic. We, as the Ministry of Economy and Labour, adopted measures for the protection of the living standard of the citizens by capping the profit margins of basic food products to avoid enormous price hikes with no basis, and in that context, we welcome these initiatives and activities by the citizens. Over the past years, the previous Government tolerated retailers, who got rich on the backs of the citizens through unfounded price hikes. This behaviour must end,” Durmishi wrote.
He said the State Market Inspectorate is on the ground and will make use of all mechanisms at its disposal if it identifies unjustified price hikes and disruptions of the logic of the market.
Support for the calls to boycott markets also came from the Chamber of Crafts on Thursday. The Chamber of Crafts called on citizens to make a fairer choice and shop with small artisans.
"We fully support the boycott of supermarkets, however, we appeal to citizens, whenever they can, to buy bread, other food products at artisanal bakeries, other stores to support local production. In addition, we have appealed to craftsmen to reduce the prices of their products," said the president of the Chamber, Agron Fazliji.
The Chamber of Commerce said prices with small businesses and artisans were lower and more accessible to everyone, noting that on Friday the prices will be ten percent lower for buyers.
"This is a small but important step to show that the local economy can support citizens with fairer prices and better quality. I urge buyers to choose products from small artisans whenever possible, not only during the boycott," Fazliji urged.
In press releases, the country’s two largest parties - ruling VMRO-DPMNE and opposition SDSM - reacted to the calls for boycott of shops.
Saying it supported the boycott, VMRO-DPMNE says the institutions will look into all wrongdoings. There is no economic reason to raise prices other than store owners acting on a whim, it noted.
According to SDSM, calls for boycott are increasing because the government has failed to protect the citizens from price hikes.
The Organization of Consumers of Macedonia, which is not involved in organizing the boycott, said it supports the act.
“We do not organize the boycott, but we support the citizens in order to encourage the business sector to lower prices of goods, especially foodstuffs, because they have been going only up,” Mirjana Lonchar, president of the Organization, told MIA.
The Pensioners' Party in a press release also called on its members to support the boycott of shops.
The minimal living expenses of a family of four rose by Mden 391 (EUR 6.35) in January compared to December, with an increase of Mden 123 (EUR 2) in expenses for food and beverages, shows data by the Federation of Trade Unions of Macedonia (SSM).
Minimal expenses on food and beverages rose by 10.43 percent in 12 months, which, SSM said, would mean inflation isn’t 3.5 percent as shown by the statistics, but over 10 percent.
The value of the minimal consumer basket rose by Mden 6.089 (EUR 98.96) in one year, which is an increase of 10.63 percent.
According to SSM, their demand for higher wages and a higher minimum wage is “more than justified”, and they also stressed the need for additional measures by the Government.
Latest statistical data show that the cost of living in 2024 compared to 2023 see an increase by 3.5 percent, and retail prices by 3.8 percent.
Ahead of the boycott, some markets announced on Thursday price reductions on certain products, promotions for consumers, while some are planning to take inventory.
Photo: MIA / Government / Facebook