Zero VAT for bread is a measure that is important not for bread producers, but for the entire society, Mariana Kukusheva, chairman of the National Branch Union of Bakers and Confectioners, told BNT, quoted by novini.bg. "I wouldn't say that a shock increase in price is expected", she explained.
The cost of labor is about 40-45% of the cost of a loaf of bread, Kukusheva reminded and explained that the increase in the price of bread affects inflation.
She reported that with the zero VAT on bread, the price of 2.40 leva has fallen to 1.8 leva.
"The difference between the price of a kilogram of bread for 2023 and for 2022 is only 0.09 leva. And at the moment, the price of bread with 20% VAT is lower than the price of bread, which was in July 2020. "If we continue to comply with the law, as it currently is with 20% VAT - I categorically state that the anticipated global changes and price increases will affect the price of bread, and this will lead to very strong social inequality," said Kukusheva.