Prices of UAE onions, bread up to 50% lower than those in Western countries

Prices of UAE onions, bread up to 50% lower than those in Western countries

Here’s how the country manages to keep prices low amid high inflation in US, Europe

Published: Sat 21 Jan 2023, 7:29 AM

Grocery items such as bread, cheese, fruits and vegetables and soft drinks are much more economical in the UAE than in the US and European countries.

This is thanks to the government’s push to freeze prices, low fuel prices, increased local production of perishable goods and stronger dirham making imports cheaper.

Local retailers and economists say that prices of some of the goods such as fruits and vegetables are cheaper by over 50 per cent in the UAE as compared to some developed countries due to low taxes in the country.

Globally, inflation has been a challenge for governments. While the rest of the world has suffered from skyrocketing food and fuel prices, UAE has relatively seen lower levels of inflation when compared to its developed market peers.

Inflation in the UAE stood at 6.77 per cent, lower than nine per cent in the European countries and nearly at par with the US at 6.5 per cent.

Of late, the Philippines and Pakistan have seen shortages of onion, wheat and other commodities, resulting in massive increases in prices in those countries.

In the UAE, currently, almost