Austria’s Social Democratic Party (SPÖ) is again pressuring supermarkets to cut food prices, warning it will push for government intervention if the industry fails to act.
SPÖ federal manager Klaus Seltenheim said Wednesday that if chains do not lower costs, the party will demand a price commission empowered to set rates under certain conditions and impose caps on producer margins. “If BILLA can cut prices on 1,000 products, then Hofer, Spar and others must follow with lasting and meaningful reductions,” he declared, pointing to Rewe Group’s two-week, 5 percent discount campaign on its budget “Clever” line.
The debate over food prices has simmered for months. In August, Finance Minister Markus Marterbauer (SPÖ) floated the idea of price interventions to tame inflation, though he ruled out tax cuts given the strained budget. Party leader Andreas Babler later suggested a commission with binding authority to force companies to reduce prices or even statutory measures.
The governing ÖVP has reacted cautiously. Secretary-general Nico Marchetti said “classic interventions” were off the table but hinted at alternative action if costs “spiral out of control.” Coalition partners Neos were bluntly opposed, dismissing “state bread prices” as ineffective.
At the government’s September retreat, no direct controls were adopted. Instead, officials pledged to pressure the EU on the so-called “Austria surcharge,” draft legislation against “shrinkflation,” and negotiate voluntary commitments with retailers to curb hikes on staple goods.
Looking ahead, Statistics Austria is set to launch a new database in 2026 to monitor prices along the supply chain. The existing price commission will also be restructured, and the Federal Competition Authority granted broader powers to investigate and challenge unfair pricing practices.
