In a press conference held on 9 October 2023 at the government headquarters in Egypt’s New Administrative Capital, Prime Minister Mostafa Madbouly said that the government had been diligently working to resolve the rise in inflation that reflects on rising prices of basic commodities. Mr Madbouly reminded however that inflation and prices currently constitute global predicaments for all countries around the world.
“We have worked to mitigate the effects of inflation on the short term,” PM Madbouly said during the press conference. “For a long term solution, we have worked to enhance local industries.” The Premier lauded the role played by the private sector in working hand in hand with the government, yet warned that there would be not tolerance of price manipulation by traders.
Mr Madbouly announced 10 decisions and resolutions taken by the government to mitigate the crises. These included:
• Targeting price reduction for the main basic commodities. It was agreed that the prices of seven groups of main commodities would be reduced by 15 to 20 per cent. These are: beans, lentils, pasta, dairy products, sugar, mixed oil, and rice; reduced prices will go into effect on Saturday 14 October.
• Prices of live and frozen poultry, as well as eggs will also see reductions.
• Suspending duties and customs on imported production inputs for a period of six months.
• Ensuring there would be no shortages in goods, to keep prices stable.
• Providing the hard currency needed to increase supply of basic imports.
• Implementing a system to resolve the crisis of the penalties and fees on imported shipments in ports.
• Prices will be announced and should be clearly marked on products.
• Controlling the various supply chains providing the end product to customers.
The government’s initiative to mitigate the prices crisis comes in cooperation with the Federation of the Chambers of Commerce and the Federation of Industries. According to Mr Madbouly, it was agreed with commercial chains to provide abundant supplies of the goods targeted in the initiative.
PM Madbouly said that the initiative to reduce prices of some commodities will be applied as long as the parties concerned can adhere to the agreement with the government. He explained that poultry price reduction is planned for three months, and may be extended, as for the seven basic commodities, the initiative should apply for at least six months.
Watani International
9 October 2023