"Heavy basket"

The prices of basic consumer goods, with or without VAT, continue to bring households to their knees.

Based on a survey by the Consumer Goods Retail Research Institute (IELKA) and comparison based on platform data in each country and supermarket chains, prices are:

• in France 18% higher than in Greece,
• in the UK higher by 7%,
• in Spain by 3%,
• in Italy by 7%,
• in Portugal at about the same level as in Greece.

However, the picture changes significantly if you subtract VAT, which varies from country to country. In Greece, VAT is 24%, and if you subtract it, then 13%. VAT is significantly higher than in the UK (0% or 5%) and France (10% and 5.5%), Spain (10% and 4%), Portugal (13% and 6%), Italy (5% and 4 %) and most countries EU.

The main difference is that food products, which in Greece are subject to a high VAT rate of 24%, in other countries are subject to a rate that is lower than the Greek one – 6%, 5.5%, 4% or even 0%.

However, in a recent survey on the question “basket of households or VAT reduction on food” about 9 out of 10 consumers said they would prefer a reduction in VAT on food for almost everything, from basic necessities like milk, bread and butter, to the cheapest groceries.

According to market circles, by the end of April, revaluation (increase in prices) is expected for more than 100 types of products. Food and detergents are at the top of the list of promotions. According to the survey, the new price increase will be up to 5%, according to 35% of respondents (heads of retail chains). And every second responded that the price increase would be up to 10%. There is also a small percentage of 6% who answered that the price increase will reach 20%.

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