Changes to basket of good lead to price hike

Shopping at retail outlet Cost U Less is about to cost Barbadians more come September 1, as prices are about to rise on hundreds of items.

The store, which seemed to be the first out of the blocks with the notice on pending price increases as a result of the announcement in the June 15 Budget of the adjustment to the basket of goods, said the price rises were in keeping with Government regulations.


Price increases on the items exempt from the so-called basket of goods are expected to take effect at supermarkets and shops across the island as of September 1.

Notices placed in the snack isle of the bulk retailer at Welches Walk, St Thomas store said that in compliance with Government regulations, “beginning September 1st, 2015, new Value Added Tax of 17.5 per cent will be added to hundreds of items”.

When contacted store manager Joe Lachausse told Barbados TODAY the move was in response to the change of items in the basket of goods.

“That one is upcoming to the changes to the basket they are allowing . . . that will include hundreds of items,” Lachausse said.

In his June 15 Financial Statement and Budgetary Proposals Minister of Finance Chris Sinckler announced changes to the basket of goods effective September 1, 2015. The new basket contains over 150 items compared to the more than 409 in the previous list, which means that over 200 items would now attract the 17.5 per cent VAT.

Sinckler said the move should result in Government earning an additional $20 million in revenue during the fiscal year.

Lachausse explained that the list was as lengthy as it was because of the classification of some products “which means it may say one thing but it applies to multiple different [items]”.

Asked if he anticipated that the increased prices would affect shopping at the warehouse club-type shopping facility, the store manager said it was “to be determined”.

In the Budget Sinckler also announced a 10 per cent excise tax would applied to locally produced and imported sweetened beverages such as carbonated soft drinks, juice drinks, sports drinks and fruit juices.

That took effect on August 1, 2015 and was levied on the value of the product before the VAT was applied. Sinckler announced that the measure, which was expected to generate in excess of $10 million in revenue this fiscal year, would be revised in two years to determine how it affected the behaviours of producers, importers and consumers, and whether it should be extended or intensified.

In relation to that tax, which was imposed primarily to encourage Barbadians to consume less sugar, Lachausse told Barbados TODAY while the change took effect on August 1, it was too early to determine if it was affecting the buying habits of consumers.

However, he said, “My personal feeling is if you drink Coca Cola [for example], you will continue to drink Coca Cola. I know it is designed to shift people away from unhealthy drinks and I would like to see that, but I think when people have a preference they typically stay with their preference.”

A revised list of items from the Cost U Less store on the locally produced and imported sweetened beverages showed price increases ranging from $0.10 to $5.

When contacted on the matter, owner of the popular A1 Supermarkets Andrew Bynoe, who last month described Government’s decision to remove some items from the so-called basket of basic goods as a backward step, declined comment.

29 Responses to COST U MORE

  1. Janette Reifer
    Janette Reifer August 11, 2015 at 1:31 am

    Why do people allow these things to surprise them ?

  2. Janette Reifer
    Janette Reifer August 11, 2015 at 1:32 am

    There is tax on everything in this nation. I mean everything. Fah real ! The air we breathe will some be taxed. Just wait and you will see !

  3. Pamela Bowen
    Pamela Bowen August 11, 2015 at 5:08 am

    Things already expensive in there. I think they want a name change

  4. Lloyd Lewis
    Lloyd Lewis August 11, 2015 at 5:21 am

    Lord help us talking about it wont help

  5. Fitz Dee
    Fitz Dee August 11, 2015 at 6:13 am

    The typical draw and switch. Come in low, establish a presence and then join the price gouging club

    • Fitz Dee
      Fitz Dee August 11, 2015 at 8:50 am

      I but my meats from the Butchers in the market at Cheapside. Do you know Turkey Wings at Hill on Roebuck Street is about 40% below that at Cost U Less. Cost U less should not be a shopping experience for us it should be a wake up call. You are going out in groups of 6 and 7 to Sca on The Hill. How about going out a saturday morning and have some fun digging 2 rods of potatoes or yams and taking your kids along for the healthy experience

  6. Queenie ShaSha
    Queenie ShaSha August 11, 2015 at 6:23 am

    Fruits and veggies and water…grow ur own food …..

  7. Angela Thompson Branch
    Angela Thompson Branch August 11, 2015 at 6:24 am

    I gave it that name from the start.

  8. Thomas Katt
    Thomas Katt August 11, 2015 at 6:42 am

    With the amount of concessions given to this store, they should be among the last, not the first to raise prices. Shop there when it first opened and never went back. It Cost Me More to shop there. It’s cheaper to shop at PS.

  9. Carolyn Robertson
    Carolyn Robertson August 11, 2015 at 7:01 am

    This was cost you more from day one no no price hight will not alarm me now

  10. Linda Cumberbatch
    Linda Cumberbatch August 11, 2015 at 7:21 am

    From de time dey open I went in I tell evabody it was costing me more to shop in there, dat name want changing

  11. Ralph White
    Ralph White August 11, 2015 at 8:06 am

    The Governments way of increasing taxation to be justified by healthier alternatives? Yeah right. Taxation can not solve noncommunicable illness. It’s all about individual change after all the Minister did the change himself before he implemented these tax increases to Barbadians, so he is basically contradicting how to be healthier. It’s just an excuse to raise tax revenues!

    • Ralph White
      Ralph White August 11, 2015 at 8:21 am

      He said he changed his diet during the budget presentation. So that makes his reasoning for the tax worse.

  12. Michael Crichlow
    Michael Crichlow August 11, 2015 at 8:18 am

    Remember folks. ..this is whole sale not a need a gold card and heart medicine for cashier sticker shock …I shop at cosco here only during the week because on weekends the price skyrocket. …shop accordingly wunno too fart frightened

  13. Kevin Cave
    Kevin Cave August 11, 2015 at 8:23 am

    Bajans’ pocket can’t get a break.

  14. sue August 11, 2015 at 9:32 am

    Everything is to raise more fiscal revenue for government. But what about the poor people pockets and their plates. Poor people are going to suffer even more. Even some of the middle class that struggle to pay their mortgages and have kids to feed. This island’s cost of living has now sky rocketed to the moon.

  15. carson c cadogan August 11, 2015 at 9:42 am

    “…….But what about the poor people pockets……”

    How is it that “poor” people can find so much money to pay for Tattoos?

    They are covered from head to toe with expensive Tattoos. What we are seeing is misplaced priorities not “poor people pockets”.

    • Olutoye Walrond August 11, 2015 at 1:29 pm

      So how many thousands of the population have tattos, Carson?

  16. Tammy Akelia Taitt
    Tammy Akelia Taitt August 11, 2015 at 9:43 am

    I just hope they ready to change the name of the Store too.

  17. Mark Wrd
    Mark Wrd August 11, 2015 at 10:39 am

    Went there a few times and prices did not impress me # Cost you more.

  18. Jack Baeur
    Jack Baeur August 11, 2015 at 10:45 am

    The ppl with serious priorities are being made to suffer cause of a many in this country who do not take life seriously .when will this government realise that they are reducing our take home salaries in such a drastic way that we all might as well be paid as shop stewards. Everyday day its take a little more out of what little u have left.there should be a law against this sort of injustice that is being done to us.AND I DONT EVEN WANT TO SAY AS A PPL CAUSE WE ARENT ACTING AS ONE.

  19. Alex Alleyne August 11, 2015 at 10:50 am

    We must boycott most of the stores , buy more local items and stop saying “we can’t eat the money” . If we continue with business as usual we all will be taken to the cleaners while the stores owners will be laughing all the way to the bank. We give up BIM and JUCY , send those jobs over to T&T and now paying a heavy price . One fast food joint refuse to sell COKE and switch to PEPSI , a clear sign of T&T take over.

  20. cecil P August 11, 2015 at 11:52 am

    I feel your pain I’m @ the north pole and we’re going through the same increases as u do or even worse .u see you’re not in this along. the food prices are skyrocketing and your salary isn’t moving with these increases . from the north pole

  21. Linda August 11, 2015 at 9:00 pm

    From the first day I went in there I recognized everything cost more and so I called the store cost you more.

  22. Mike August 12, 2015 at 7:26 am

    Talk all yah talk. I hoping with all de millions government collecting that I get my income tax early this year. Things are going to start looking good because elections are around de corner. Income tax returns before Christmas.


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