Aziz Šunje, professor of the Faculty of Economics at the University of Sarajevo, believes that limiting the margin in stores on basic foodstuffs is a good measure.
The Government of the Federation of Bosnia and Herzegovina passed the decision, which, as a measure of direct price control in the territory of the Federation of Bosnia and Herzegovina, prescribes the determination of the maximum level of margins in trade for certain basic foodstuffs and hygiene items, at its session, on the proposal of the Federal Ministry of Trade.
The aim of this measure is to protect the living standard of the population, especially in the context of current inflationary influences that continuously reduce the purchasing power of the population.
Šunje added that prices will regulate the market through the relationship between supply and demand, and reduced demand will cause prices to fall.
“Inflation affects the decline in the standard of living, and thus lower demand, which will affect the reduction of prices. The logic of the market,” stated Šunje for Fena.
Certain associations for consumer protection believe that this government measure is necessary, but not sufficient, in order to prevent the increase in product prices in our country, because it is more profitable for traders to pay a fine compared to the profit they make. On the other hand, they point out that BiH imports 80 percent of the food we consume as a key problem.
As explained by the Ministry of Trade of the Federation of Bosnia and Herzegovina, margins are limited to flour, bread, milk, oil, sugar, fresh eggs, fresh meat and hygiene products.
The Government of FBiH made the decision considering that appropriate measures of immediate price control of basic food and certain hygiene products are still needed, and federal, cantonal, city and municipal market inspections are responsible for controlling its implementation.
