Margin freeze, small store support, new authority – what awaits Hungarian buyers and traders?

By: Trademagazin Date: 2025. 03. 28. 10:24

The margin freeze that came into effect on March 17, 2025 has brought spectacular price reductions for several basic foodstuffs, and consumers are happy – but in the background, the commercial market is already being reorganized. According to György Baranovszky, executive chairman of the National Federation of Consumer Protection Associations (FEOSZ), the beneficial effect of the measure is tangible, but large supermarket chains will certainly not give up their previous profits easily – writes Index.

Shopping has become cheaper – but not everyone is equally happy

“No one complained on the part of consumers because their usual shopping cost up to 15-20 percent less”

– said Baranovszky. According to government statistics, there was an average price reduction of 17.7 percent in the 30 food categories subject to the margin freeze. The price freeze has also caused a reorganization on the retailer side: the expert is certain that profit-oriented chains are trying to compensate for the loss by using other products.

Convenience stores will not win the price competition – but they can get closer

The aim of the 1–3 million forints subsidy for convenience stores recently announced by the government is to allow stores operating in small settlements to sell daily consumer goods cheaper. According to Baranovszky, this measure can only be justified if it really brings a noticeable price reduction for local customers.

“It would be irrational to expect convenience stores to compete with hypermarkets,”

he said, since the logistical background, purchasing volume and price bargaining power behind them are not even comparable. However, the difference can be reduced, and convenience stores can also be in a more stable position if the subsidy goes to the right place.