The GVH is investigating the excessive pricing practices of importers

By: Trademagazin Date: 2023. 08. 04. 11:41

Within the framework of a complaint procedure, the Economic Competition Authority (GVH) is investigating the excessive pricing of certain foods produced abroad. The competition authority’s experts analyze market behavior related to imported products widely purchased by Hungarian consumers, such as cheeses, fruit yogurts, plant-based drinks, margarines or frozen vegetables. The goal of the GVH is to reveal pricing anomalies with its investigations, and by operating the online Price Monitoring System, to contribute to curbing inflation and protect Hungarian families and pensioners.

Following the conclusion of the accelerated sectoral investigations carried out on the markets of dairy products and then of durable foods, the national competition authority launched another investigation, this time within the framework of a complaint procedure. Based on consumer signals, the GVH examines market behavior related to food products that are typically produced abroad. GVH experts analyze the pricing practices of imported dairy products – cheeses, fruit yogurts – non-Hungarian plant-based drinks, margarines, and various frozen vegetables.

On Thursday, the Economic Competition Office published its final report on the accelerated sector investigation of the durable (canned and frozen) food market. GVH experts revealed, among other things, that the retailers realized a gross margin of 25-35% within the analyzed product range in 2022, which can be considered significant. They found products (e.g. quick-frozen green peas or crumbled sweet corn) in which the average profit built into the gross margin was unjustifiably tripled.