Greece Adopts New Market Regulation To Sell Expired Food In Supermarkets
News: Greece has adopted a new code of market regulation under which local supermarkets will be able to sell expired food, reports EurActiv. The government has taken the decision in consultation with the European Commission's health and safety officials without infringing EU legislation. The move will see supermarkets selling goods with an expired 'best before' date separately in specially labelled racks. Greece's Deputy Minister of Development, Athanasios Skordas, insisted the new market regulation code has no provision that concerns products whose lifetime has expired.
BMI View: Greece has been battered by the eurozone sovereign debt crisis, enduring five years of economic contraction. The economic, political and social damage wrought by the crisis will leave an indelible mark, and on the consumption front, domestic demand conditions remain woefully bleak. Retail sales fell by 5.7% y-o-y in March, which, although marking a significant improvement from the 14.1% y-o-y plunge the previous month, nonetheless marks the 33rd consecutive negative reading. With the ranks of the unemployed continuing to swell (the unemployment rate hit 26.8% in March) and disposable income under continual pressure, household spending is severely depressed. In our view, consumer spending is likely to lag any eventual broader economic recovery.