Consumption by Brazilian homes should slow down in 2023, according to a forecast released this Thursday (26) by the Abras supermarket association, which projects an expansion of 2.5% this year after a rise of 3.89% in 2022.
The measurement involves the volume and types of products purchased in supermarkets and has a certain correlation with retailers’ revenues.
The entity had started 2022 expecting a 2.5% increase in consumption for last year and revised the projection to 3.3% in the middle of the year after the government of then-president Jair Bolsonaro approved the increase in the Auxílio Brasil to R$ 600 in addition to a series of other benefits such as the gas voucher in the midst of the election campaign.
Asked if the slowdown worries the sector, Abras’ institutional and administrative vice president, Marcio Milan, said that last year’s performance was accelerated at the end of 2022, still motivated by the non-recurring events of the World Cup and elections.
“These two aspects will not be available in 2023, but the measures being taken by the government to maintain aid are very important for consumption,” said Milan. “Projections still point to growth,” he added.
In December, consumption grew 15.2% compared to November and 6.2% over the same month of 2021, a performance considered robust by the entity.
Last year, the sector opened 341 stores, 167 of which in the cash and carry format, which has been gaining ground in recent years due to the squeeze on consumer income and the movement to switch brands as part of a family strategy to maintain consumption. Total investment in the supermarket sector was around 15 billion reais in 2022, Milan said.
At the end of this month, Abras should release a list of demands with the federal government that includes important issues such as broader permission for the sale of prescription-free drugs by supermarkets, which will make the sector directly rival the pharmaceutical retailer.
“We want to offer this to the consumer more broadly. The consumer will therefore have a more competitive price”, said Milan.
In addition, the entity also defends the total exemption of federal and municipal taxes on basic basket products, said the executive.
Source: CNN Brasil
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