Israeli ministry scrutinizes matzah prices as Passover approaches
Israel’s two main matzah producers were ordered to submit detailed documents to examine if they were inflating prices ahead of the upcoming Passover holiday, the Ministry of Economy and Industry said on Wednesday.
“It is impossible for matzo, which is a basic product during Passover, to be sold at prices that will burden the holiday expenses of many families,” said Minister of Economy and Industry Nir Barkat.
Matzah, or unleavened bread, is eaten during the week-long holiday, which begins at sundown on April 12.
The production cost of matzah is estimated at NIS 7.4 ($2.02) for a 2.5 kg package, the ministry said, adding that the retail price gap, averaging NIS 30-33 ($8.17-$8.99) will be closely examined for fairness.
According to the ministry, the two companies, Matzot Rishon and Matzot Yehuda, hold a combined 80% market share.
“The Price Supervisor will examine in depth the price gaps between the costs of production components and the price of matzah, and if excessive profitability is found – we will act decisively, including initiating a process to introduce the price of matzah under supervision. I expect food manufacturers, importers and retailers to show responsibility and price the shopping basket fairly in preparation for the upcoming holidays,” Barkat said. “At the same time, I call on consumers to compare prices and choose only what suits you – because real competition also begins in your pocket.”
Passover commemorates the Jewish exodus from Egyptian slavery. The Bible notes that the redemption came so quickly that the bread that the Jewish people baked for their journey did not have time to rise.
