Vote with your wallet to beat the price rises
By Jean Christou
THE only way to beat rising prices is for consumers to vote with their feet, the Consumers’ Association said yesterday, as latest the Consumer Price Index (CPI) showed an annual increase of over six per cent on the price of food and non alcoholic drinks.
More worrying is the fact that prices jumped two points between June and July this year.
Overall, the CPI showed an increase of 1.84 per cent compared to July 2006. But when the items are broken down, it becomes apparent what increases occurred by sector.
The highest increase was recorded in food and non alcoholic drinks, with a 6.31 per cent increase over July 2006 and a 6.16 per cent hike year on year for the first seven months of 2007.
In the same category, the index jumped from 106.9 points in June to 108.9 points in July.
Alcohol and tobacco increased 1.49 per cent in the first seven months, clothing and footwear 0.3 per cent, housing, water and gas 1.0 per cent and health costs 5.9 per cent. Education costs went up 4.8 per cent, hotels and restaurants 3.0 per cent, communications 1.2 per cent and miscellaneous goods and services 2.3 per cent.
Meanwhile, the price of furniture and transport has fallen. Many attribute the furniture drop to the fact that IKEA will be opening in Cyprus in September.
A Politis price survey yesterday showed that since last year cucumbers cost 117 per cent more, pears 41 per cent, Halloumi 8 per cent more per kilo and lemons 6 per cent more. The cost of tomatoes, potatoes and water melon were on average 20 per cents lower, according to the survey.
Phileleftheros also had a price survey on animal products, which revealed a ten cents increase in the price of eggs, and a 55 cent increase on a kilo of chicken since last year. The price of pork chops also jumped 35 cents per kilo since last month.
Farmers’ associations said yesterday the increases in meat and poultry were due to the rise in the cost of animal feed and soya. They warned of across-the-board increases by October.
“We have had some reports of price increases and are in the process of verifying them,” said Consumers’ Association president Petros Markou. The suspicion is that traders are upping their prices before the dual pricing for the euro comes into effect on September 1.
The authorities have appealed to traders not increase prices from January 1 to reduce consumers` worries over rounding up during the changeover. The indications are that shops are increasing their prices now instead.
“There are people taking advantage because of the dual pricing,” Markou said. “We are hearing all kinds of stories, and what we are afraid of is that this is beyond our control and it’s really difficult to change anything.”
Markou urged consumers to look where they shop.
“Shop where prices have remained stable and punish those you think are not behaving. If it was me, I would say no thanks. I will not shop from you.”
A recent EU survey showed that Cypriots were paying sky high prices for milk, cheese, eggs, fish and soft drinks, in some cases over 40 per cent over the EU average.
Copyright © Cyprus Mail 2007
I can add to this. My local souvlakia takeaway increased their prices from £1 to 1.25 2 years ago. Last year, they increased it from £1.25 to 1.50. The day they announced the fixed euro rate, they increased it again to £2: a massive 100% increase in two years and 33% in one go, yet pork/salads/pita bread/charcoal prices have not increased to anything like the same extent. I told them that I consider such an increase abusive and I no longer go there. I have no doubt that it will be €3.50 (or more!) as from 1 January!
