Controlled dairy product prices in Israel will fall by an average of 3%, while prices of eggs will fall 4.6%.
Minister of Finance Moshe Kachlon and Minister of Agriculture and Rural Development Uri Ariel are due to sign an order in the next few days cutting prices of dairy products and eggs that are subject to price controls. Controlled dairy product prices will fall by an average of 3%, while prices of eggs will fall 4.6%.
The joint price committee of the Ministry of Finance and the Ministry of Agriculture recommended the cuts because of the 2.3% fall in dairies’ input costs, mainly thanks to a 4.35% drop in the price of raw milk, and a 5% fall in egg farmers’ production costs. The retail mark-up has also been reduced.
The last revision of regulated dairy prices was six months ago, in July 2015, when prices were cut by an average of 4.62%. The last egg price revision was in January 2015, when prices were cut 3.1%.
“The reduction in dairy and egg prices will enable many families in Israel to pay less for basic products consumed in every home, which will be a substantial relief for the poorer sections of the populations and the middle class,” Kahlon said, “We shall continue to take advantage of every opportunity to reduce prices and thereby cut the cost of living in a way that will make things easier for Israel’s citizens.”
Ariel added, “The professionals in the Ministry of Agriculture are currently in discussions with the Ministry of Finance on ways of placing basic fruits and vegetables in the basket of controlled-price products.”