GVH Launches Dairy Market Probe
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Hungary's Competition Office on Friday announced the launch of an accelerated probe of the dairy market to determine if restrictions or distortions are contributing to higher prices.
In a post on Facebook, GVH noted a marked rise in consumer prices for dairy products, but said feedback suggests the position of local farmers and dairy processors has weakened.
With the probe, GVH aims to find out to what degree the pandemic, the war in Ukraine, higher input costs, and regulatory changes have impacted various levels of the value chain, and to determine the effect those factors have had on changes to product categories, such as an increase in the share of house brands.
GVH recently announced a review of food retailers' pricing practices, especially for substitutes for price-capped products, which include UHT cow's milk with a 2.8% fat content .
The price of dairy products in Hungary climbed 79% year-on-year in December, according to the latest data published by the Central Statistical Office.
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