CAPPING the cost of essential items in Island supermarkets is market intervention “a long way” from the thinking of the Economic Development Minister, the Assembly heard this week.
Deputy Kirsten Morel said the “reality” was at least 80% of food in Jersey was imported, compared to around 45% in the UK.
Addressing politicians, he continued: “The cost of groceries in Jersey is always of importance to all Islanders, and Jersey does, sadly, have limited levers with which to tackle inflation directly.”
Deputy Morel highlighted that Jersey’s new ferry contract with DFDS – which begin last month – included a freight price cap for the 20-year duration of the deal and a flat-rate card, which he argued would have an impact on lowering the cost of goods on shelves.
The minister was responding to a question from St Saviour Deputy Raluca Kovacs about whether he would support setting a maximum price for essential items to help control rising grocery costs, commenting that “such market intervention is a long way from my thinking”.
Deputy Morel said: “We saw a recent food resilience report that I received in November 2024, and it provides several recommendations to help improve food resilience on the Island. These are going to be incorporated in the updating rural economy framework due later this year.”
He added that he continued to work with the Jersey Competition Regulatory Authority and the Jersey Consumer Council for advice.
The cost of living topped the list of worries for Islanders this year with almost a third of (29%) stating they were concerned about it, according to the results of a survey commissioned by the Policy Centre in January.
