Inflation Erodes Gains as Bulgarians Afford Only Two-Thirds of What Europeans Buy
Bulgarians’ purchasing power has improved over the past decade, but it still lags significantly behind the European average
The Bulgarian Commission for the Protection of Competition (CPC) has publicly criticized the National Statistical Institute (NSI) for refusing to provide key information as part of an ongoing sectoral analysis of the food market. The CPC had formally requested access to data submitted by large retail chains to the NSI - figures including prices, sales, and the number of retail outlets. These requests are part of a broader effort to assess competition and price dynamics across the food supply chain.
The demand for data was prompted by a letter from the Association for Modern Trade, which informed the CPC that bilateral agreements exist between the NSI and major retail chains. Under these arrangements, supermarkets submit detailed reports to the NSI on the sales and prices of basic food items. The Commission argued that such information would significantly aid its analysis, which spans the full food chain - from production to distribution to final sale.
According to the CPC, the purpose of this market-wide investigation is to identify the drivers behind the rising prices of staple food products and to determine whether there have been breaches of competition rules. Ultimately, the Commission intends to propose concrete policy measures to alleviate inflationary pressures on consumers. The analysis is being closely watched due to its relevance in the context of Bulgaria’s forthcoming transition to the euro. Authorities are keen to prevent unjustified price hikes on essential goods during and after the currency shift.
Despite the CPC’s rationale, the NSI declined the request. In a formal response, the institute’s leadership cited legal concerns, which the Commission dismissed as unfounded and inconsistent with the legal framework governing competition oversight. Specifically, the CPC pointed to Article 46 of the Law on Protection of Competition, which obliges all public institutions - including the NSI - to assist the Commission in its regulatory duties.
The CPC expressed concern that the NSI’s refusal directly undermines its mandate, especially in a sensitive moment like the euro adoption process. Without access to accurate data, the Commission warned, its ability to regulate and propose effective measures is compromised - particularly in a sector as vital and inflation-sensitive as food retail.
In response, the CPC issued a follow-up letter to the NSI chairman, reiterating its request and giving a three-day deadline for compliance. If the NSI again fails to deliver the requested information, the CPC has stated it will invoke Article 102, paragraph 2 of the Competition Protection Act to impose financial sanctions on the institute.
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