The government's measures serve to protect Hungarian families. Thanks to the food price freeze that came into effect in February, people will have more money. Fixing prices is a message to the market and will also be a restraining force in the rise of inflation, Minister of Agriculture István Nagy told Magyar Hírlap. Interview excerpt.

- How is the domestic food industry currently doing?

- Thanks to the resources flowing into the sector since 2015, our food industry has become significantly stronger, more efficient, and more competitive. In 2020, the year of the outbreak of the coronavirus epidemic, this was the only manufacturing sector that did not experience a downturn. By 2021, both consumers and processors had adapted to the changing conditions, so the sector was able to achieve an increase of almost ten percent in both production value and sales revenue. Last year, thanks to the two hundred and fifty billion HUF tender opportunity announced to food industry players, the desire to invest has returned, and as a result, domestic processors are getting stronger both at home and in international competition.

– Can we supply the entire country with our own resources?

- The Hungarian agriculture and food industry has large reserves, so it is able to supply twenty million people. Despite the challenges caused by the coronavirus epidemic, fresh and healthy food is put on the table of Hungarian families every day, for which we cannot be grateful enough to the farmers. In addition to the pandemic, we had to deal with many difficulties. I could also mention the trials caused by the weather, African swine fever and bird flu. Despite all this, however, the food supply did not stop for a minute. Thanks to the diligence and perseverance of the producers, Hungarian agriculture has not only become resilient, but also a strategic sector.

- Why is it important to promote domestic ingredients?

- An important goal from the point of view of the national economy, and even national security in certain cases, is for the population to primarily buy domestic products, as this, on the one hand, provides jobs for those working in the food industry, and on the other hand - and the emergency situation highlighted this - also creates security of supply. Let's not forget that when we buy domestic products, we also support the livelihood of Hungarian families and the local economy. Products produced in Hungary also mean higher food safety for the population.

This requires conscious shopping by consumers - to look for domestic products - and competitive, efficient production by manufacturers. One of the excellent tools for increasing conscious decision-making is the High Quality Food trademark system, which has been in existence since 2019, which simultaneously refers to the safety and quality of food and to production processes that take sustainability aspects into account. A clear symbol that distinguishes exceptionally high-quality food from other products on the market.

– What do you expect from fixing the price of basic foodstuffs?

– The epidemic and drastically rising energy prices throughout Europe affect many things, including food prices. The price increase also affects Hungary. The government's measures serve to protect Hungarian families. Thanks to the food price freeze that came into effect in February, people will have more money.

Fixing prices is a message to the market and will also be a deterrent to rising inflation. However, it is also important to draw attention to the fact that we have already reduced the general sales tax on most foodstuffs, and milk, egg and meat products are subject to the five percent VAT rate. But let's not forget that the opposition criticizing the food price freeze did not vote for the decision on the VAT reduction. On the other hand, the government makes decisions that serve the interests of the people and the improvement of their living conditions. Examples include utility cuts, fuel price caps and mortgage interest freezes. It is worth noting here that the left and its candidate for prime minister did not support a single measure to protect the population: neither the food price freeze nor the gasoline price freeze, and they are talking about canceling utility cuts.

The left has the same policy today as in the Gyurcsány era, according to them, the government should not intervene in world market prices, even if they threaten the livelihood of the Hungarian people.

– What is in store for the state co-financing given in addition to the EU funds?

- An opportunity, since all stakeholders had access to funds in the transitional years and last year and will receive funds this year as well, which was unprecedented in the domestic food industry in recent decades. This means that all players in the sector, regardless of company size and whatever food products they produce, will have the opportunity to make competitive, efficient and innovative investments.

the full article here.

Image: Magyar Hírlap