Spain consumer goods sales rise on worries over supply amid Ukraine war -Breaking
[ad_1]
© Reuters. Two couples take some milk from a Caprabo supermarket, Barcelona, Spain. March 21st, 2022. REUTERS/ Albert GeaMADRID, (Reuters) – Sales of consumer products rose by 13% in Spain following Russia’s invasion. Supply concerns were exacerbated due to a partial strike in transport, prompting shoppers to buy staples. Market research firm Kantar reported that this was the result of Thursday’s announcement.
Kantar measured sales from March 6 to 20, and compared them with the previous year. Their total growth was much greater than the 5% increase in Spanish mass-consumer products prices over the same time period last year. This means that sales volumes are growing.
Kantar stated that “Spain’s consumers are changing their behavior and this is directly linked to the concern that they show about the current situation.” Kantar also said that 91% of respondents were concerned about the effects of the conflict, which began Feb. 24, 2014.
Sunflower oil is mainly imported from Ukraine and supermarkets across the country are reporting a reduction in sales. There has also been sporadic shortages for staples, such as flour and milk.
Spain granted temporary permission to stores earlier this week to restrict the sales of certain products in order to avoid sell-outs on stressed markets.
Customers are buying more packaged foods, as they account for 48.4% in an average grocery basket – compared with 44% one year ago.
The fastest rise since 1985 was recorded in the Spanish consumer prices, which rose 9.8% during March according to preliminary data.
Kantar reported that youth have suffered the most, with younger consumers spending 20% more for basic goods in comparison to a year earlier.
Kantar stated that consumers have been looking for cheaper products from their own brands and 40% of them are trying to cut down on out-of-home spending.
Juan Aznar from Barcelona’s Esade business school, said to Reuters that consumers are being more picky and spending more time searching for lower-cost alternatives.
This situation favors large shops which can keep lower prices.
Fusion MediaFusion Media and anyone associated with it will not assume any responsibility for losses or damages arising from the use of this information. This includes data including charts and buy/sell signal signals. You should be aware of all the potential risks and expenses associated with trading in the financial market. It is among the most dangerous investment types.
[ad_2]
