Local products more expensive than import ones, producers complain

The head of the Club of Producers, Berat Mustafa, has accused businessmen who, according to him, are deciding unilaterally the margin of profit.

The “Analysis that we make as producers, never do local producers have prices raised. Each time the prices of local producers are more competitive than the products derived from import... For sale, because they have margins, higher costs, large space, large number of workers, different rents and they are forced to raise prices, otherwise producers are competitive. Because, if we weren't competitive, we couldn't make it as a producer with this little product that we have”, Mustafa told the KP.

The owner of one of the local businesses in Kosovo, Shacir Palushi, says it will by no means make a product produced in the country more expensive than imported.

One of the factors that happens is that local producers, part of them are small producers, and the cost of products is much higher than that of companies that are international corporations and have a market and consolidated product, but that doesn't reason because consumers don't care if you're a big or small producer, it interests the price of being competitive. There is no way that a product produced in the country is higher at price than that of a company, much more if it is about companies that are renomous and with products and quality proven”, Palushi said.

Among other things, Palushi requires more control on the part of market inspectors, for he feels that there are cases when the cost and the normal brand of marketing is misused.

There are times when the price and the normal margins on the part of businessmen are being misused and I believe this should have more control on the part of the market inspector in order not to be abused, especially in this time of crisis where consumers' pocket pocket-to-x1> has been affected, Palushi said.

While Kosovo Economic Ode Chairman Lulzim Rafuna, calling for support from the government for local companies, he has invited relevant institutions to do a market analysis to influence product prices.

It takes into account that we don't produce raw materials, we import them, and this rate fluctuation during pandemic time, then the war in Ukraine-Russia, which caused very high inflation, affected the price of raw materials, but also the rise of international transport spending. For this reason, institutions need to do an analysis and see where and how they can contribute so that by taking action of fiscal policy, whether by lowering taxes, this TVS case in raw materials, where it is implemented, or see the next possibility of any subsidisation of credit interest rates for producers, not only for exports but also for products produced for our market in order to meet the competition of the imported product, for the reason that the product that comes from the region is subjected to various forms of credit, where Rafuna said.

Local products remain below “the” of imported products. Product consumption, “Made in Kosova”, on the local market, despite the fact that it has marked growth in recent years, continues to remain low.

Mustafa from the Producers Club has invited the government to devote more to the country's economic development.

This remains in the hands of the government, where we invite to have face-to-face meetings with the government and to discuss all problems, because the situation already ends with the Ohrid Agreement, and we have to move into the economic sphere and devote ourselves to the country's economic development, primarily with agriculture and productivity, as the country's only economic development force”, he said.

Products, which are imported from countries in the region and beyond, continue to dominate the Kosovo market and to be largely consumed by citizens.

Meanwhile, our country continues to have a high trade deficit.