The measure of locked prices in FBiH ends on March 1, and citizens will receive an application for price comparison and a more transparent insight into the market.
The “locked prices” measure, which has been applied in the Federation of Bosnia and Herzegovina since December 2023, ends on March 1 this year, and the Federal Ministry of Trade states that by that date it will enable the full operation of the “Compare prices” application, which should provide citizens with a transparent insight into the prices of products in various commercial establishments and facilitate the choice of the most favorable purchase.
The Ministry reminds that the voluntary action of “locked prices” was agreed upon in cooperation with employers from the trade sector, consumer associations and the trade union, and that it was extended several times during 2024, while in 2025 its duration was extended by a decision of the FBiH Government in agreement with the FBiH Employers’ Association.
“The current extension refers to an additional 60 days, i.e. until March 1, so that the price comparison application will be available to citizens in full capacity. The test phase of the application has been completed, and data entry is underway for about 70 product groups that include more than 3,000 products. It will enable citizens to compare prices by retail chains, filter by place of residence and view prices in the nearest sales facilities, as well as create their own consumer basket to check where the overall purchase is the most favorable” – said Feni from the relevant Ministry of Trade.
When it comes to the results of the “locked prices” measure so far, they point out that the project covered around 65 basic food and hygiene products, whose prices were stabilized over a long period of time.
According to the Ministry’s estimates, the consumer basket of those products saved citizens from 50 to 70 KM per purchase.
They state that the measure also had the so-called “price anchoring” effect, because the locked prices of individual products did not allow significant deviations in the prices of similar products from other manufacturers on the market.
According to the analyzes of the relevant ministry, the measure contributed to mitigating the sudden and unjustified price jumps of basic food and hygiene products, although the domestic market is significantly dependent on imports, which is why global price movements and the so-called import inflation has a direct impact on prices in BiH.
The Ministry points out that the achieved savings had a positive effect on the standard of living of citizens, especially in the period of inflationary pressures, and that the data on fiscalized turnover show an increase in consumption, which was contributed by the increase in the minimum and average wages, as well as other socio-economic measures of the FBiH Government.
They also state that, after almost two and a half years of implementation, it is time to end the project of “locked prices” in this form, bearing in mind the stabilization of market trends and the fact that the market economy in BiH is based on the free formation of prices.
“This does not mean the end of institutional market supervision, and the Federal Ministry of Trade has prepared the Law on Exceptional Price Control Measures in Extraordinary Circumstances, which has already passed the first round of the parliamentary procedure. This law defines the competences and mechanisms of action in situations of market disturbances, which enables the FBiH Government to react in a timely manner and prevent an unjustified increase in the prices of basic foodstuffs” – they stated.
A member of the Association of Employers of the Federation of BiH, Almedin Kadrić, says that employers in principle support the work of the Federal Ministry of Trade and cooperation with trade unions and consumer associations, but warns that any intervention in the formation of prices can disrupt market activity.
He also spoke about the new law on price control, which, according to him, would be harmonized with European standards and principles of the market economy, he writes Acts.
Speaking about the measure of locked prices, although the Ministry states that it will end after March 1, the Federation of Employers’ Association states that employers hope that it could be extended for another two to three months.
“The economy dictates prices and any administrative intervention can lead to problems with product shortages or a reduction in retailers’ margins. I see the development of an application for price monitoring as a longer-term and more transparent solution, and every informed consumer and competition on the market can naturally influence the lowering of prices,” Kadrić said.
Gordana Bulić, president of the Tuzla Canton Consumer Club, states that their association participated in the working group for the “locked prices” project and that they conducted an analysis of the specific effects on household budgets.
Based on data from large shopping centers, the differences between locked and higher prices of the same or similar products were analyzed.
As an example, he cites sunflower edible oil with a price of 3.15 KM within the measure, compared to the same or similar products at prices of 3.20, 3.25 or 3.80 KM.
“Such an analysis was done for all around 60 products included in the measure, based on the monthly needs of an average four-member family. According to these calculations, a family that chooses products with a locked price can achieve savings of around 100 KM per month, while for pensioner households this saving is around 50 KM” – said Bulić.
She emphasized that it is not a question of products of inferior quality, but of items that were previously among the most frequently chosen, and that they are clearly marked on the shelves and displayed at the entrances to the sales facilities.
He adds that price locking has not only a direct saving effect, but also an indirect one, because the choice of more favorable products affects competitiveness and encourages other retailers to adjust prices so that goods do not remain unsold.
