In a new development concerning the issue of rising prices in Moroccan cafes and restaurants, consumer protection associations have expressed their strong disapproval of the justifications provided by the National Federation of Cafe and Restaurant Owners for the collective increase in beverage and food prices.
According to a report published by “Bayan Al-Youm” newspaper in its Monday edition, these statements come at a time when the Competition Council is preparing to open an investigation into the phenomenon of high prices in the cafe and restaurant sector in the coming days. This investigation aims to identify violators among these establishment owners and suppliers of essential materials used in the sector.
The associations described, in press statements, the justifications presented by the National Federation of Cafe and Restaurant Owners in a letter to the Competition Council as “flimsy excuses.” They pointed out that these justifications aim to raise prices and double profits during the summer season.
The associations drew attention to the fact that the anticipated investigation by the Competition Council will not be limited to studying increases in raw material prices, but will also include the disproportionate rise in final product prices in cafes and restaurants.
The associations explained that the increase in the price of one kilogram of coffee beans from 60 dirhams to 120 dirhams was met with an increase in the price of a cup of coffee from 8 dirhams to 25 dirhams in many cafes. The unjustified increases also extended to include drinks and foods whose raw materials did not experience any price increases.
The associations pointed to a worrying pattern where cafe and restaurant owners resort to raising their product prices by 30 percent when there is a 10 percent increase in raw material prices, which is a clear violation of the law on price freedom and competition.
It is worth noting that the National Federation of Cafe and Restaurant Owners in Morocco recently corresponded with the Competition Council, pointing to the significant increase in raw material prices as the main reason for the increases in final product prices.
It remains to be seen how this issue will develop with the start of the anticipated investigation by the Competition Council, and whether it will lead to tangible measures to protect consumer rights and ensure fair competition in the Moroccan cafe and restaurant sector.