The Euro Observatory signed a price stability agreement with nine importers yesterday and awarded them a new logo that can be used during their marketing campaigns.
The nine importers join another two importers that had already agreed to fix the price of their products between October 2007 and March 2008, three months before and after the adoption of the euro. As a result, the price for over 3,500 items of 250 brands is now fixed until the end of March.
In return, the companies were given a new logo, similar to the FAIR logo, which they can use in their marketing campaigns. The new logo reads “New Currency, Same Price”.
The signatories are Charles De Giorgio Ltd, Emmanuel Delicata Wineries, Alf. Mizzi and Sons (Marketing), Novartis Pharma, Miller Distributors Ltd, Farsons, General Soft Drinks Ltd, Sweetsource Ltd and Nectar Ltd. These companies have joined VJ Salomone (Marketing) Ltd and Island Hotels Group, which have already signed a similar agreement.
Finance Parliamentary Secretary Tonio Fenech said Malta is the first country acceding to the euro that has reached such an agreement with individual importers, after other countries had reached similar agreements with representative bodies.
He said that by fixing their prices, importers, along with government, are sending a clear message that consumers can put their minds at ease during the run-up to the adoption of the euro. They are also implying that they have reached agreement with their foreign suppliers regarding fixed prices.
The parliamentary secretary said this agreement complements the FAIR initiative, to which 6,500 Maltese retailers have already subscribed.
National Euro Changeover Committee chairman Joe F.X. Zahra said this was a new phase in the run-up to the euro adoption during which the committee had worked to assure the population that the new currency will not result in inflation. The FAIR initiative had proved to be successful in this regard and by the end of the subscription period, which ended yesterday, the committee was still processing another 300 applications. He stressed that retailers that have not subscribed to the FAIR initiative still have time to abide by certain rules, including showing prices in both liri and euros.
Euro Observatory head Alan Camilleri said that since June, 39 businesses have been asked to clarify price changes that had been reported by consumers, of which 13 cases had been dropped and five had been asked to present further evidence. Of these, four did present such evidence, while the remaining one was asked to revise its prices. Mr Camilleri said that in the coming weeks, the observatory would reach similar agreements with other sectors, including the services sector.
The agreement, said Mr Fenech, had been signed with a view to the international rise in price of cereals, sugar and wheat. He said that with the signing of the agreement by importers, consumers will also be able to monitor any changes in price on a website that will be launched shortly.