Tuesday, November 6, 2007

BREAD PRICES

Intro:

The poor Kosova people note with worry the increase of the bread price from .25 to .45 cents, brought by the changes in the stock market. The Association of the Millers of Kosova is requesting that the Taxes on Added Value be lowered, while the Kosova government does yet have a solution for this situation.

Reporter: Arben Llapashtica
Intro to radio reporting

15 % of Kosova citizens live on .70 cents a day, so the increase of the bread price from .25 cents to .45 cents and the prediction that it might go as high as .70 has further impoverished this part of the population.

The increase of the bread price is a direct result of flour price increase in the world stock market.

The situation has made the Economic and Fiscal Counsil to stop collecting duty on flour and wheat, but it has done nothing to decrease the bread price.

Bujar Dugolli, the Minister of Trade and Industry states that the government can not stabilize prices:

“We do not have a stabilizing policy on prices, which means that, like with the electrical power, the Ministry of Trade can only stop collecting duty duty grains.”

According to the executive director of the Millers Association, Muhamet Farizi, the price can be lowered if the Taxes are lowered to.

“We have asked the reduction of the Tax on the Added Value for wheat, flour and bread, because there will be worldwide production shortage, which will bring about the increase of wheat process and which will directly or indirectly influence us as well.”

Earlier on, the Trade Chamber of Kosova has requested the financial subvention of Kosova farmers by the government and the stop of duty collection on grain import. This institution has also conducted studies on the matter.

Behlul Beqaj, the Chair of the Trade Chamber of Kosova suggest possible solutions on how to overcome this situation:

“According to the studies conducted by our analysts, Kosova will need 80 million euros in order to furnish the population with bread, a fact which gives us an idea as towards what this whole situation should be oriented.”

The flour furnishing issue has caught the Government unprepared. Bujar Dugolli explains the lack of wheat:

”The reasons why we don’t have reserves, is because we have nowhere to store them. The ministry buildings are still on lease, we have nowhere to store the reserves, and issue cannot be solved by one minister”

Worried citizens have stated that they cannot absorb the bread price increase.

VOX-1

Vox-2

“This bread price increase is a catastrophe, if we consider the general living standards of the common citizen or their individual earnings. This price is very high which means irresponsibility on the part of the government. They have tried to justify it with not having any competences or reserves in storage but those are not reasons at all.”

Kosova will not face the increase of the bread price alone. In addition to bread and flour, the most consumed products by kosovars, there are also increases in the prices of other items such as cooking oil, cheese, meat and milk, almost twice as high when compared to prices in the other parts of the region.

For the KIJAC Radio – Arben Llapashtica

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