Analysts consider food VAT decrease unlikely

Although the Rural Development Ministry would decrease the VAT rate of basic foodstuffs to 5 percent, according to the analysts polled by Origo, it has small chance to happen. The decreasing of poultry and pork, bread, milk, eggs and cooking oil VAT does not fit in this year's budget.

“The Rural Development Ministry issued proposals to the government over the decrease of the VAT of basic foodstuffs, that have social aspects. Still inter-ministerial consultations are taking place over the coverage of the potentially affected products and over the terms of implementation”- told the Ministry of Rural Development to Origo on Monday.