Tax evasion in the meat sector remains somewhere at 25-35% and the temptation to sell on the black market, as it was when the VAT was 24%, still exists, Radu Timis, entrepreneur of Cris-Tim group says.
“The VAT cut on foodstuff to 9% is still being felt. The VAT cut saved the market and saves it further. A return to VAT of 24% would be a disaster because there still is tax evasion,” Timis said for Mediafax.
On the other hand, the price of pork has increased by 54% on average this year, following the fall of pork surplus on the market. The large pork producers in the EU prefer to export in Asia, specialists say.
The large producers and exporters in Spain, Germany, Denmark exported to Asia by 20% more that the similar period last year, subsequently the pressure on the European market has decreased, including in Romania, Ioan Ladosi, President of the Pork Producers Association in Romania (APCPR) has told ‘Ziarul financiar’.
Another factor contributing to the price increase was the higher demand for pork during summer, a trend noticed every year.
Marcel Rusu, owner of Superstar Com in Radauti (north-eastern Romania) claims that for some pork produce the price is unchanged. He says the prices are stable and expects a price fall in September.
Swine breeders say, according to the quoted source, that they haven’t noticed an increase of revenues due to the losses registered during the latest months.