Fruit and vegetables and supermarket brand products are significantly cheaper in Belgium than in neighbouring countries according to a study from Belgium’s Price Observatory that was commissioned by economy minister Pierre-Yves Dermagne (Francophone socialist/PS). However, Belgians pay a lot more for branded products.
Supermarket brands, fruit and vegetables cheaper in Belgium, well-known brands more expensive than in neighbouring countries
People everywhere have felt the effects of successive crises and inflation hikes on supermarket prices in recent years. Between 2016 and 2022, the average price of food products and non-alcoholic drinks in Belgium rose by 15.3 per cent according to figures from the Price Observatory.
Compared to neighbouring countries, that is not too bad. In Germany, consumers saw food become 26.4 per cent more expensive during the same period. In the Netherlands the figure was 21.2 per cent and in France 16.4 per cent.
Belgium certainly does well for fruit and vegetables: on average in Belgian supermarkets these products are 17 per cent cheaper than in France and 12 per cent cheaper than in Germany. In 2022 meat and fish were cheaper in Belgium than in France and Germany, but more expensive than in the Netherlands.
Unbranded, so called ‘white’ products
Belgium also does well when it comes to supermarket own brands and ‘white’ products. 59.7 per cent of the products analysed are cheaper in Belgium than in France. Compared to the Netherlands and Germany, that figure even rises to 78.2 per cent and 62.2 per cent respectively.
"A shopping trolley containing only supermarket brands costs about 15 per cent less in Belgium than in France, about 25 per cent less than in Germany and about 40 per cent less than in the Netherlands," says Minister Dermagne.
But Belgium does worse when it comes to branded products. In 2022 on average Belgian consumers paid 13.4 per cent more than their German neighbours, 9.9 per cent more than the Dutch and 6.6 per cent more than the French for these items.
An explanation for these more expensive branded products, possiblies lies in manufacturers' strategies artificially to increase their prices, for example, by limiting deliveries in a certain area. "It’s especially small countries like Belgium, with weak bargaining power, that fall victim to the power of the market that manufacturers abuse to increase their margins."
Mr Dermagne wants to address this point during the forthcoming Belgian EU presidency. He is seeking the support of other smaller EU countries that also suffer as a result. "The development of purchasing groups with a European geographical reach could be part of the solution" the minister notes.
Mr Dermagne also points to the power of consumers, who could en masse opt for cheaper products, rather than famous brands. "Informed and active consumers can fuel competition. If they ignore certain products, it will increase the pressure on producers to lower their prices."
