Businesswomen wait five years mountains. Due to the lower VAT rates, people will spend more in the Czech Republic and beyond. This is what the president of the Trade and Tourism Association, Zdenk Juraka, thinks.
After this year’s one percent growth, it takes five years to turn to stagnation or a slight decline. Talk about the need to reduce the lower VAT rate, which will mean higher food, food, selected goods for children, public transport, etc.
“The increase in VAT will lead to the growth of shopping tourism, especially in foreign areas, which will be included in the central budget, sales for domestic food producers and, last but not least, retail sales,” Jurak warned, according to which current estimates speak of year may be optimistic.
Juraka says that, according to preliminary assumptions, the turnover of domestic retail should increase by about one percent, this year, mainly due to sales in the last quarter of the year and mainly purchases. “But we will have to go to the end for a while to repent,” Juraka said.
Traders are quietly healthy
Martin Ditmar, SOCR’s Vice President for Trade and General Manager of the Spar esk Business Chain, pointed out that it is still necessary to keep pace with the rise in agricultural commodity prices. “The health of imported food can be affected by the continuing weakening of the koruna, which, on the other hand, will help me export,” said Ditmar.
Juraka told her two times that by the end of the first half of the first year, food prices should increase by five percent and ten percent. Food prices are rising, the koruna is weakening, excluding VAT, commodity prices are rising in foreign markets, and transport and energy are rising.
According to Juraka, nowadays, due to the VAT rights in January, traders do not have to raise food prices so that they do not have to jump into jumps at the end of the next year and, on the contrary, can claim that outside prices are not so sharp in their case.