This is a bit of a blow to consumer price pressures in Italy. The government had been trying to negotiate an agreement between producers and retailers to cap prices of food and other essential items for Q4 2023. It was meant to be a "decisive blow" to inflation but for the time being, there are no conditions to go ahead with such a deal.
Producers are said to be refusing to submit a backing for the proposal and supermarkets do not intend to endorse it without the backing of industries. Well, so much for trying to bring down food price inflation I guess.
I'm not too familiar with how things work in most places around the world but I can imagine it being similar to some parts in Asia at least. The minute corporations start to get their hands on higher profits and wider margins, it is hard to imagine them bringing prices back down to compensate for falling materials and producer prices. At the end of the day, the consumers will have to live with the fact that whenever prices go up due to inflation, they never ever come back down no matter the cost.
