“The cap on profit margins is a tough but fair measure under the current conditions. It works positively and helps the Independent Authority carry out inspections,” said Minister of Development Takis Theodorikakos in an interview with SKAI radio.
Mr. Theodorikakos presented data on the effectiveness of the measure, noting that in the 63 product categories covered by the cap, “there are 50 times fewer price increases per month than before, and 67 times more price reductions.” As he pointed out, this demonstrates “the usefulness of control and the usefulness of the measure,” since without the cap, “the Independent Authority would have nothing to inspect.”
However, he clarified that it is not a permanent measure: “It is not forever. It is not our plan, it is not our vision for the economy. But when there are people who struggle to meet basic needs and obligations, there is no need to make 120% profits there. There must be moderation, logic, and balance.”
In this context, the Minister of Development referred to the fine of nearly €3 million imposed by the Independent Market Supervision Authority and Consumer Protection Authority on a large multinational company for violating the gross profit margin across 48 product codes, stressing that this development proves how necessary the creation of the Authority was. “There was a violation of the law and the law was enforced. The law is the law and applies to everyone,” he said. He added that fines imposed over the past two years during his tenure at the Ministry of Development exceed €20 million and “have been fully paid.”
On inflationary pressures
Regarding inflationary pressures in the economy, Mr. Theodorikakos said that inflation is influenced by many factors, primarily international ones, but stressed that “whatever is within the power of the Minister of Development to curb inflationary pressures is being done, and in a highly aggressive manner.”
He also noted that in a few days the new application “PosoKanei” will be presented by the Independent Authority, an upgraded version of previous platforms such as e-Katanalotis, through which consumers will be able to see online how much the same product costs in Greece and other European countries in supermarkets.
On the Development Law
Referring to the Development Law, Mr. Theodorikakos said it is being implemented with speed, transparency, and a clear focus on industry and new technologies: “We want to make the economy more productive and more competitive, to move away from a consumption-based economy and towards an economy of industry, productivity, competitiveness, and knowledge,” he said.
He placed particular emphasis on transparency, noting that the Ministry of Development identified hundreds of companies that had received funds in previous years without carrying out the required investments. “I committed that we would check them one by one in order to recover taxpayers’ money. To date, we have recovered €126 million from 213 companies,” he said, adding: “We will continue, because we want to show all citizens that we respect every single euro of taxpayers’ money and that their funds are being managed properly and legally.”
On the “Turkaegean” trademark case
Regarding the “Turkaegean” trademark case, the Minister of Development stressed that “we fought a battle to defend national interests to put a definitive end to the Turkaegean trademark.” He noted that Greece won at second-instance level at the European level, emphasizing that “it is obvious that we will do everything to ensure that the Turkaegean trademark does not exist. The government’s will is clear and its action is effective.”
As he explained, the Ministry of Development remains vigilant regarding the possibility of Turkey appealing to the General Court of the European Union or similar judicial authorities in the United States. He said this is particularly important “especially at times when, unfortunately, on the Turkish side we see a bill being prepared with the well-known descriptions of the Aegean, which go beyond any concept of international law.”
On the stakes of the next elections
Finally, regarding the political stakes of the next elections, Mr. Theodorikakos said that citizens will face a clear dilemma: “One path is with Kyriakos Mitsotakis, New Democracy, the social force of moderation and reason, to continue moving forward, for better economic conditions and a safer Greece. The other is to return to the experiment ‘Alexis Tsipras and the left’, which in 2015 almost pushed Greece over the edge.”
“There is no reason for Greeks to risk stability and a secure future for us and our children. Let us move forward and not recklessly and irresponsibly risk returning to the past,” the Minister of Development concluded.
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