In the first half of 2012, domestic consumption of consumer goods increased by 2 percent in local currency compared to the same period last year, according to a study made by GfK.

After inflation's strong impact on household expenditure in Romania in 2011, the decrease continues and in the first six months of this year, the amount spent on food decreased by 2 percent, while expenditure for soft drinks and beer increased by 5 percent.

Among the foods that households reduced their spending on this year is cooking oil - a decline of 6 percent for this year, compared with 2011, when households spent 40 percent more than in 2010. Other food categories that registered a decrease are fruit yoghurts  and chocolate bars.

Modern commerce continues to gain ground over the traditional, attracting in the first six months of the year 49 percent of total household expenditure in Romania for consumer products, up by two percentage points on the same period last year.

In modern trade patterns, the supermarkets cover 16 percent of the value, with position strengthened by restructuring discount sections in supermarkets. The main driver of growth for modern trade remains higher number of buyers, this trend being strengthened by continuous territorial expansion of large retail chains.

Increases in the first half of the year were also registered in the frequency of purchase of private branded label products, covering 3 percent of the consumer goods market in national brand expenditure .

The study is based on information obtained by monitoring household consumption of around 90 categories of consumer products through research by Consumer Panel Romania, GfK on a sample of 2,200 nationally representative households.

Ioana Toader, ioana.toader@romania-insider.com

(photo source: sxc.hu)