Retail tax to affect prices, tighten market competition – POHiD

The tax on retail sales that is going to be introduced in Poland will make prices go up and will tighten competition in the market,  according to the Polish Organization of Trade and Distribution (POHiD).

“The tax brings a number of negative consequences for the industry and Polish consumers. The retail tax will hit the budgets of Polish families. It will increase prices because by working on very low margins retailers will not be able to shoulder the burden. Cheap food in our country will end and the poorest part of the society will suffer,” POHiD said in a press release.
POHiD estimates that optimization and cost cutting will directly affect the business environment in the industry, which will make the competition among suppliers stiffer. Weaker market players will have to use less efficient distribution channels.

(PAP)