Taxes on food are the highest in Hungary, and the price of food is the highest while the minimum wage is the lowest, the leader of the opposition Tisza Party said during a visit to Poland. He also talked about how food prices could be reduced.
This is why food prices are so high in Hungary
During a visit to Katowice on Saturday, Péter Magyar saw first hand that while the Polish minimum wage was 50 percent higher than the Hungarian one, food prices were 20 percent lower, on average, than in Hungary, the Tisza Party said in a statement.
Magyar said that while minimum wages in all neighbouring countries were higher than in Hungary, the price of basic foods was lower, according to the statement. As a result of the Orbán government’s “failed economic policy decisions”, Hungary has set a European record in food price inflation, reaching 62 percent in three years, he added.
Magyar said that Orbán had introduced several taxes since 2010 that significantly increased food prices.
Hungary is currently a European champion in terms of taxes on food, with the 27 percent VAT rate boosted by a public health product fee and a 4.5 percent extra profit tax, he said. Additionally, since last year, manufacturers are affected by an extended producer responsibility (EPR) fee that is among the highest in Europe, he added.
Food inflation, high prices flatten consumtion
At the same time, profits are low, developments have been neglected, and there are problems with efficiency and competitiveness in the food industry, he said.
“Huge” taxes and food inflation have significantly set back consumption, and consequently profits in the food industry, Magyar said. This makes development and the progress of Hungary’s food industry impossible, he added.
From 2026, the Tisza Party would reduce the VAT on fruits and vegetables, and gradually on all healthy food products, to 5 percent, he said. It would also significantly reduce other taxes on food, to boost consumption and the competitiveness of Hungary’s food industry, he added.
Magyar said consumer protection would also be strengthened in order to ensure that retailers pass on the price reductions expected from tax cuts to consumers.
Read also:
- Rising food prices in Hungary spark concern, many shop abroad for groceries – read more HERE
- Food prices in Hungary will increase significantly in autumn
Featured image: depositphotos.com
When I shop at LIDL, or any other food store in Romania, my receipt includes the amount of VAT I have paid. That varies depending on which foods I buy. The maximum is 19%. The average VAT that I pay is around 10.5%. When I shop at LIDL in Hungary the VAT does not appear on my receipt. Guess where I shop whenever I can.
Peter Magyar has kindly pointed out one of the many aspects of the problem. But, the root of the problem is that the current government of Hungary overspends. We can argue the reasons for this another time. Meanwhile, the average and lower income earners in Hungary continue to pay while the higher income earners have received huge income tax cuts for years.
It doesn’t take an economic guru to figure out that when my wallet is empty I cannot buy anymore.
Here’s an interesting side note to this story on the wages side of the issue. Recently I met 4 young Indonesian men on the train who are working in Hungary. They told me that they were on their way to an interview in Poland because the wage package was considerably higher. I couldn’t help but wonder about the future of cheap foreign labor in Hungary.
Facts and Truth – truth, truth, truth.
If required or DECIDE to answer, the “Vile” attacks that are or WILL come back at the Tisza Party – Peter Magyar – we have FURTHER evedance of the Facts and Truth to table, to expose, throw out just not back on the “Corrupt” and “Heinous” government – the Fidesz led government of Hungary by Victor Mihaly. Orban – but to all Hungarians.
Tisza – it’s CREED to bring about ensure the DOWNFALL of this Orban led Fidesz Government, the TRUTH & Facts – spreading it’s WORD, in getting the MESSAGE out to ALL Hungarians – in the cities, in the towns and villages and the growing number of HAMLET living life-styles – that this Orban – led Fidesz Government, through its GARGANTUAN Failings – economic financial and OTHER – have delivered us, as a country – what CHAOS as a country we are living in to-day.
SOLIDARITY – speaking – Truth & Facts – “mauling” deepening the HUMILIATION, the wrongfulness of the Orban – Fidesz Government – that over 16 years have literally nearly – on the CUSP of – DESTROYED our country.
It was expressed to me, in recent time, by “another” learned individual, that what has been INFESTED into Hungarians, just being day to day PRACTICE in our lives, through this “Heinous” Orban led Fidesz Government of Hungary – is the “ripping off” – the cheating and the LYING – that occurs – between the Hungarian – employer and employee and employee and employer.
Is this OVERALL – FACT ???
Destruction in Hungary – for the population, the country – if this is FACT.
FACT – “beyond reasonable doubt” – Orban and his Fidesz Government, have CREATED what are commonly referred to being practices / behaviour that are Toxic Cultures.
Heinous – breaking Laws – lying, cheating, the fabricating of Truth & Fact – “veiling” of truth & Fact – betrayal & disloyalty, the abuse of Hungarians, insulting, being disrespectful to Hungarians, these are just “minor” factual examples that HAVE occurred to Hungary – to Hungarians, over the 16 years the Orban led Fidesz Government have been in POWER – in Government.
WHAT have they given us ?
What have they DELIVERED us ?
Economic & Financial chaos – a near collapsed Economy, and in ALL the MESS they have delivered us ;
(1) – they have No Money.
and secondly
(2) – debt – debt built established by a Government – that the Orban – Fidesz Government Debt – is a tax payers DEBT of ALL Hungarians – to be predominantly from our TAXES.
Hungarians our FUTURE – if we WANT a Future – for ourselves, our family – our children, our grand-children – that can ONLY be – HAPPEN – by solidarity in “RIDDING” us of this – Orban – Fidesz Government.
Hungary – if we in Solidarity – being UNITED – “sticking” to-gether – ACCEPT – that it is being a DEMOCRACY – member of the European Union, a member of N.A.T.O. – friendships partnerships & relationships – with ALL countrys that are DEMOCRACY’s – if we DON’T – make this HAPPEN – sorry we are FUCKED.
Truth & Facts – supported if needed by EVIDANCE – we challenge, we FIGHT orderly in whatever processes we DECIDE to engage in to BRING down, bring to ACCOUNT, this “Heinious” led Orban – Fidesz Government, that after 16 years have DELIVERED us to the cataclysmic place as a country we represent in 2024.
Fact & Truth – the evidence is THERE.
Taxation of food is exploitation of the poorest segments of society of which Fidesz is one of the worst offenders. No country should be taxing food.
Vat in Hungary – highest in the European Union.
This is compounded by the BLATANT – “Double Dipping” – that Fidesz – under Orban and the “Dud” – Finance Minister of Hungary – Mihaly Varga, have been ALLOWED to by Hungarians – EXPLOTE them, since they came into Government 16 years ago.
“Double Dipping” on taxes paid by Hungarians – personal taxes then tases under Vat which RIGHTLY Larry – explains as a FACT that Hungarians are WACKED.
Hungary – pull it ALL apart – dissect it – in ALL its componentry and compare it against the “other” 26 Member countrys of the European Union – and FACTUALLY – clearly it PROVES that Hungary are not a LOW taxing country.