Last news in Fakti

Economist Nikola Filipov: The price is fair when supply and demand meet

80% of fruits and vegetables in Bulgaria are imported, emphasized Mariana Miltenova, Chairwoman of the Board of the Non-National Union of Gardeners in Bulgaria

Май 23, 2026 09:40 48

Economist Nikola Filipov: The price is fair when supply and demand meet  - 1

This week it became clear that the authorities have negotiated with retail chains voluntary packages of products from the small consumer basket, which will be at low prices. The idea is that this will be at least for half a year ahead.

„The only price that is fair is when supply and demand meet. Everything else leads to intervention in market phenomena, which always have negative and long-term effects on the economy“, explained economist Nikola Filipov.

„This is a decorative intervention. I don't think this measure will produce anything real. Rather, the government is trying to show that it cares about the people and that it is taking some steps to normalize prices“, he commented.

However, according to him, the problem with inflation in our country is different.

„There are two and the first is the state. Years of deficit spending, increasing salaries in the public sector - this leads to an increase in prices for producers and businesses“, explained the economist.

According to him, we will not see a particular effect from the measures this year, but at least attempts are being made to stabilize public finances, which is positive.

„These packages are something new in practice. The more significant problem we have in our sector is that the production of fruits and vegetables in our country has decreased tremendously“, said Mariana Miltenova, Chairwoman of the Board of the Non-National Union of Gardeners in Bulgaria.

Statistics show that about 80% of the consumption of fruits and vegetables in Bulgaria is imported, she added.

“Supermarkets offer tomatoes on a branch from Hungary - a country that we taught about fruit and vegetable production many years ago. Apparently, better conditions have been created there for vegetable production than in Bulgaria, so we can import from there“, commented Miltenova.

According to her, the reason for the high prices of fruits and vegetables in our country is the overall policy that has been pursued in the sector for the last 20 years.

“Only Bulgaria and Denmark have an equal VAT rate. All other countries have planned some lower tariffs for food. Most likely they have some arguments. Let's see and discuss“, said Bogomil Nikolov from “Active Consumers“.

“We do not have unity on the issue of inflation. Every day we hear contradictory opinions. This needs to be cleared up“, he believes.

Nikolov also said that it is important for politicians to know that there are long-term measures, because they always ignore them.

“Everyone wants quick solutions. Something to offer today and tomorrow to lower prices. It doesn't work like that, it's a little more complicated“, Bogomil Nikolov also said.