The 990 price cuts across an equal number of products due to be rolled out at supermarkets under the national initiative by year-end make for an impressive-sounding figure. For consumers, however, their significance depends on how many of these products they buy and how much smaller their final bill will be.
According to a briefing note from the Independent Authority for Market Control, of the 990 products, 186 have seen price cuts of at least 10%. In 65 cases, cuts reach or exceed 15%, while prices for 36 SKUs have fallen by 20% or more. The largest individual cut is 34%.
Nearly one in five participating products has seen a double-digit price cut. For the rest — more than eight in 10 SKUs — the reductions are smaller.
Meanwhile, private-label products stand out. More than one in three participating SKUs in this category has seen a cut of at least 10%, with the average close to 8%. The largest reduction is 32.9%. The basket of products includes dairy, pasta, frozen foods, paper products and cleaning products.
The picture is more restrained for branded products. Of the 628 participating SKUs, 64 have seen cuts of at least 10%, while 27 have seen reductions of 20% or more. The average is 6.6%, although the largest individual price cut is 34%.
As for fresh meat, one of the main household expenses, one in three participating SKUs has seen a cut of at least 10%, with reductions of up to 15% for beef, pork and chicken. Double-digit cuts have also been recorded for chocolate, in some cases exceeding 20%, while the initiative also covers bread, flour, processed meats, baby products and soft drinks.
For the government, the fight against high prices has clear political stakes ahead of the elections. Supermarket prices are a daily measure of the economic pressure households feel, as well as of the effectiveness of government measures. In this climate, the participation of about 1,000 products in the initiative gives the government a figure it can present as an outcome of its policy.