The North Macedonian government has made the decision to cap gross profit margins on 102 product categories, encompassing over 1,000 food and non-food items.

During a government meeting in Skopje, it was determined that the gross margin on eight essential food items would be restricted to five percent: milk, bread, flour types 400 and 500, eggs, edible oil, yogurt, and sour milk.

The margin on meat and meat products, sugar, dairy goods, margarine, butter, canned vegetables and fruits, beans, rice, and pasta is set at 10 percent.

For fresh fruits and vegetables, as well as cleaning detergents, baby food, diapers, soap, toilet paper, and similar products, the margin is limited to 15 percent.

Deputy Minister of Economy and Labor Marjan Risteski stated that all retailers are required to stock at least 70 percent of these 102 product categories on their shelves.

Furthermore, a decision has been made to establish maximum prices for eight categories of essential food items, with these price limits effective from February 1, 2025.

“We expect that these two measures will lead to an average reduction of approximately 10 percent in the prices of basic food items, except for the eight essential products—milk, bread, flour types 400 and 500, eggs, edible oil, yogurt, and sour milk—which are anticipated to remain stable, meaning they will not increase or may only see a slight decrease,” Risteski mentioned at a press conference.

Both measures will take effect the day after they are published in the Official Gazette and will remain in place until April 30.

In response to citizens boycotting stores on two occasions due to high food prices, the government commissioned the Ministry of Economy and Labor to draft a decision that would limit the gross margin to 10 percent on select essential food items, hygiene products, and baby food.

This decision was informed by a six-month report from the State Market Inspectorate, which indicated that retailers have margins exceeding 20 percent on basic food items and over 30 percent on personal hygiene products, while importers and distributors were noted to have margins as high as 50 percent.

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