Romanian consumers pay less on food after VAT rate cut

The VAT cut on food starting June 1 has reduced the average value of a consumer basket by 11.9%. An average consumer basket which included 36 basic food products was worth RON 271.9 (EUR 61.6) in June, after the VAT cut on food, down by 11.9% compared to the previous month. In July, the average price of a consumer basket reached RON 271.5, whereas in August Romanians paid RON 273 for such a consumer basket, according to the Competition Council. The Council wants to launch an online platform that will allow consumers to compare retail prices by end-2015. The website, which will be called Monitorul Preturilor (The Prices Monitor), will display major retailers’ prices for various products. The Prices Monitor will include up to 3-4 products from 70 categories. Retailers will send the prices electronically. The Competition Council is talking to over 80% of the retailers, and is trying to convince them to join the project. The tool will allow consumers to compare prices and identify the stores with the lowest prices. editor@romania-insider.com