Hospitality industry - Landlords show solidarity with farmers against tax increases
Bavaria's innkeepers and butchers are siding with the farmers in the dispute over the removal of subsidies. "The federal government's decisions will lead to a further price explosion in people's everyday lives," said Angela Inselkammer, President of the Bavarian Hotel and Restaurant Association (Dehoga), according to a press release. Everything will cost more. Furthermore, it cannot be the solution to rely on cheap food imports instead of promoting local specialties, which guests also want in terms of sustainability.
"We can more than understand the farmers' despair, because they are also facing an increase in the cost of their production conditions," said Inselkammer. "After all, we also took to the streets in Berlin in November to demonstrate against the VAT increase on food in restaurants."
The reduced VAT introduced in the catering sector during the coronavirus pandemic will expire at the end of the year, after which the regular rates will apply again. The federal government wants to cut tax breaks for farmers on agricultural diesel and vehicle tax in order to plug holes in the budget.
The victims of the tax increase policy are the consumers, said Günther Felßner, President of the Bavarian Farmers' Association. "This is a massive deterioration in the quality of life of millions of people in our country." Regionality is pure sustainability. "Why are the SPD, FDP and Greens destroying regional value chains through massive price increases? Farmers, innkeepers, bakers and butchers are the faces of our villages and towns. The damage to society is immense if these structures disappear."
Konrad Ammon, master of the Bavarian butchers' guild, warned that his industry and its products were in great danger due to the rise in production costs and the increase in VAT. Politicians must not ignore the fact that their decisions will result in a chain reaction, he said. "Everything is connected in this area and affects not only farmers or innkeepers, but entire value chains - especially in rural areas."
Press release
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- The Federal Government's plan to cut tax breaks for farmers on agricultural diesel and vehicle tax is a concern for the Hospitality industry in Bavaria, as it could lead to a tax increase for businesses like inns and restaurants.
- The President of the Bavarian Hotel and Restaurant Association (DEHOGA), Angela Inselkammer, has expressed solidarity with farmers in their dispute over subsidies, highlighting the potential impact of the federal government's decisions on food prices and local specialties.
- Inselkammer highlighted that her association, along with butchers, also protests against tax increases, such as the VAT increase on food in restaurants, which they believe negatively impacts consumers.
- The Bavarian Farmers' Association President, Günther Felßner, has criticized the tax increase policy, stating that it will lead to a massive deterioration in the quality of life for millions of people in Germany.
- Konrad Ammon, master of the Bavarian butchers' guild, has warned that the rise in production costs and the increase in VAT could put his industry and its products in danger, and urged politicians to consider the potential chain reaction this could have on rural value chains.
- The subsidy removal and tax increase for farmers by the Federal Government has led to Bavaria's innkeepers and butchers siding with farmers in the dispute, believing that the consequences will affect the entire Hospitality industry, including Munich's food sector.
- The agrarian sector in Bavaria, which includes farmers, butchers, and innkeepers, is calling for policies that support local specialties and sustainability, instead of relying on cheap food imports, which they believe could lead to further harm to consumers and the rural economy.
Source: www.stern.de
