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Reading: How did we get to the Point where the price of Milk and Fuel in BiH is almost identical?
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Sarajevo Times > Blog > BUSINESS > How did we get to the Point where the price of Milk and Fuel in BiH is almost identical?
BUSINESS

How did we get to the Point where the price of Milk and Fuel in BiH is almost identical?

Published April 12, 2023
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The fact that price growth in Bosnia and Herzegovina (BiH) has reached enormous proportions is evidenced, among other things, by the prices of milk and fuel, which are almost equal. Namely, the price of fuel per liter ranges from 2.50 to 2.70 BAM, while a liter of milk costs on average around 2.60 BAM.

For months, citizens and consumer associations have been pointing to the absurd situation in which the rise in fuel prices has led to chain price increases, while, on the other hand, in the period when fuel is cheaper, prices are not going down.

According to Marin Bago, president of the Association for Consumer Protection “Futura”, the culprit is the lack of government reaction. In an interview, he said that the state does not use the available mechanisms to help producers, and ultimately citizens.

“The state has a whole set of tools and mechanisms, but we have not applied any of them, the subsidy is crucial. Now we are waiting for the government to be formed and for them to start working. Even after half a year, we don’t have a service for citizens. We can’t wait for the governments to start doing their work, not just to start working, but to work thoughtfully,” Bago stated.

Admir Kahriman, president of the Association of Agricultural Producers of the Federation of Bosnia and Herzegovina (FBiH), said that dairies are facing a difficult period. Milk prices could be even higher because production will decline rapidly. Last year alone, says Kahriman, six million liters less milk was produced, and this year it is expected that the figure will go up to 12 million liters less compared to previous years.

The current price of buying a liter of milk is about 85 pfennigs, and in April and May it was announced that it will be reduced by five pfennigs each, and in the seventh month, according to Kahriman, it will be 70 pfennigs.

“It is unprofitable to work, farmers have lost all hope and this year we will feel a decrease in production. In each canton, five to ten small farms have been shut down,” Kahriman points out.

He adds that Serbia introduced a customs duty on the import of milk, and the surplus of milk from the European Union (EU) spilled over into BiH., Klix.ba reports.

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TAGGED:#bosnia#increase#news#price
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