Romania’s food-driven retail market to reach EUR 38 billion in 2008, says international report

At the end of last year, there were 70 hypermarkets in Romania, operated by seven companies, according to the report. Despite the small number of stores, the share of hypermarkets on the grocery market was around 12 percent.
More companies may invest in Romania in the next few years. The OBI DIY chain recently announced that it would start up in Romania. Lidl and Aldi are ready to enter Romania, while the Portuguese Jeronimo Martins is considering introducing its Biedronka.
In 2006, according to PMR estimates, the market share of large shops, like hypermarkets, supermarkets, discounters and cash and carry stores was 35.5 percent, while in 2007 this figure grew to 37.6 percent. Spending on food products accounted for more than half of all spending in Romania in 2007, excluding cars and fuel. This unusual situation for a developed economy, was caused by a reduction in the importance of self-grown food in the grocery supply chain in Romania.
“People who once relied on their own farms are often going to shops instead, increasing the value of food retail sales. The rising prices of food products, caused by poor harvests, have contributed to increases in grocery spending, as consumers were unable to reduce the volume of foodstuffs consumed and were thus forced to pay more,” says the report.

Corina Saceanu