The Hungarian government is taking further steps to shield households from what it describes as unjustified price hikes, the Ministry for National Economy (NGM) said in a statement on Monday. As a first measure, the government has extended the existing retail margin cap until 28 February 2026. As a second step, it has expanded the programme to 13 additional products from Monday.
According to the ministry, the measure will make frequently purchased items, such as common fruits and vegetables, certain beef cuts, cheese spreads, pork liver pâté and baby food more affordable. Since the margin cuts were first introduced, affected products have seen significant and lasting price reductions, averaging around 27 per cent in drugstores and more than 20 per cent in grocery shops.
The government stressed that its priority is to support families, pensioners and young people, alongside housing measures, tax cuts and programmes aimed at improving living standards. The newly added products under the margin cap include beef topside and round cuts, pork liver products, cheese creams and spreads, apples, pears, plums, grapes, cabbage, tomatoes, onions, green peppers and baby food.
Lower vegetable and fruit prices, the ministry noted, help increase access to healthier food. The inclusion of items commonly bought by families with young children, especially baby food, was highlighted as a key point of the expanded measure.
The ministry reiterated that the introduction of margin cuts has already led to sustained price drops: drugstore products are more than 27 per cent cheaper on average, while food retail items have fallen by about 20 per cent.
The government plans to continue its efforts across all sectors, having already secured voluntary price limitations from banks, insurers, telecom providers and pharmaceutical firms. Without these steps, inflation would be roughly 1.5 percentage points higher, the ministry said.
According to the NGM, the government’s family-oriented tax policies and price-cutting measures for pensioners play a significant role in boosting household consumption and supporting economic growth.
Related articles:
