“The phenomenon of production in different qualities for different markets exists”, the Ministry of Agriculture’s Minister of State for Food Chain Supervision Róbert Zsigó declared at the FMCG Top 2017 food industry conference in Zamárdi, where he held a lecture entitled “Europe is being split into two by a double standard”.

According to information from the Ministry, the “Rockets of Growth” conference is a two-day trade forum for definitive representatives of the fast-moving consumer goods (FMCG) and food marketing industries, and is the sector’s most important annual event.

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Mr. Zsigó recalled that the issue of dual quality goods came into focus once again this February, when the Slovakian Minister of Agriculture made the results of various investigations public, pointing out that this was why Hungarian Minister of Agriculture Sándor Fazekas had ordered a new, comprehensive analysis of foods.

“Based on the investigation by the National Food Chain Safety Office (NFCSO), it may be generally determined that the phenomenon of production in different qualities for different markets exists”, he added.

The Minister of State stressed that Hungary is not alone in its opinion: the Slovakians, the Czechs, the Slovenians, the Croatians, the Romanians, the Bulgarians and the Greeks also regard as unacceptable this practice according to which some 100 million European citizens are sold worse quality foods under the same name. Together with Hungary, these countries are of the opinion that Brussels must act to put a stop to this practice, he said, stressing that the countries in question, including Hungary, will continue to make a stand in the interests of Hungarian consumers.

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Mr. Zsigó said that according to the Government and those involved in the sector, the value-added tax (VAT) decreases of recent years have achieved the required results: the market is clearer, purchasing and willingness to consume have grown, and turnover has increased, as have the number of farmers rearing livestock. For this reason, the Government decided to continue the reduction of VAT and cut the VAT on fresh milk, poultry meat and eggs to 5 percent from 1 January of this year.

The Minister of State also mentioned that the output and gross added value of Hungarian agriculture has increased by over 50 percent during the past six years. In view of the favourable effects, the Government and the Ministry of Agriculture remain committed to reducing VAT on the most important foodstuffs and regard as a priority task the complex development of the food industry, as a strategic sector, to which the Government is providing funding of over 300 billion forints (EUR 960M).

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Mr. Zsigó also spoke about Hungary’s long-term Food Industry Strategy (2017-2050), stressing that the Ministry is supporting traditional and healthy food production and will continue to encourage sector participants to act accordingly in future, the statement reads.

(Cabinet Office of the Prime Minister/MTI)