BERLIN (dpa-AFX) – From the farmers association’s point of view, the announced increases in retail food prices are a necessary and logical step. “Now it’s also important that the money doesn’t get stuck in the marketing and processing chain, but also gets to the companies,” Secretary-General Bernhard Krüsken said on Friday. Aldi discount planned adjustments are a sign of delay. They not only reflected market distortions and increases in production costs, but also the upfront costs of transforming the industry towards more sustainable production.
According to estimates from the retail sector, food prices are expected to increase significantly. Even before the war in Ukraine, prices “across the entire product range” had risen by a good 5%, Josef Sanktjohanser, president of the German Trade Association, told the Neue Osnabrücker Zeitung. This was the result of higher energy costs. “The second wave of price increases is coming and it will certainly be in double digits.” Aldi announced that meat, sausage and butter will be significantly more expensive from Monday. The reason is the higher prices Aldi has to pay its suppliers.
The federal government stated that all market developments would generally be observed. She referred to the second aid package in the billions that has just been decided by the coalition. This also provides for grants for recipients of social benefits, as a spokesperson for the Ministry of Labor said. If food prices rise, this is reflected in the readjustment of the basic security rate, which is carried out throughout the year. The Federal Statistical Office calculates the update of the standard requirements annually using a mixed index. This is made up of 70% price development and 30% net wage development.
The leaders of the SPD, Verdes and FDP recently agreed to further easing in light of energy prices. Help is also provided for low-income families and people./sam/DP/nas