Study Finds Greece Has Europe’s Cheapest Supermarket Basket

Greece recorded a cheaper typical supermarket basket than several European countries, even as it faced one of the highest VAT burdens, according to a repeated report by the Institute of Retail Consumer Goods Research (IELKA).

IELKA compared supermarket prices in January 2026 across Greece, France, the United Kingdom, Spain, Italy, Portugal, Germany, Romania and Bulgaria. Researchers examined 40 product categories using a sample of more than 6,000 prices from 48 supermarket chains. The study included both branded products and private-label items and focused exclusively on supermarket chains rather than other retail outlets.

The comparison showed that every country in the survey recorded a more expensive average basket than Greece. IELKA said Germany’s basket cost 35% more than Greece’s, France 34% more, the United Kingdom 23% more, Romania 17% more, Italy 14% more, Spain 12% more, Bulgaria 7% more and Portugal 5% more.

IELKA said the picture shifted further when analysts removed VAT to compare underlying product prices. In that calculation, Germany and France remained 43% more expensive than Greece, the United Kingdom 31% more expensive, Romania 17% more expensive, Italy 14% more expensive, Spain 12% more expensive, Portugal 5% more expensive and Bulgaria 3% more expensive.

The report highlighted VAT as a major factor shaping final prices. IELKA said Greece applied 13% VAT on many food and drink items, which placed it well above the reduced rates used in most of the other countries examined. The study said only Bulgaria imposed a more burdensome VAT system, applying 20% across all items.

IELKA also pointed to fresh beef as an example of the VAT effect. The report said Greece recorded one of the lowest base prices among the nine countries, but it still ranked second-highest for VAT on beef because Greece applied the mid-rate VAT rather than the reduced rate used elsewhere.

Overall, IELKA said Greece recorded the second-highest average VAT rate across the 40-category basket at 15.6%, while Spain recorded the lowest at 7.0%. Most countries clustered around 9–10%.

IELKA concluded that Greece’s organised food retail sector continued to offer consumers a lower-priced typical basket, crediting suppliers and retailers for sustained efforts to contain prices. The institute said the trend remained consistent over the past 12 years, with only minor fluctuations.

The report also stressed that international price comparisons must account for factors such as VAT levels, special consumption taxes, energy and transport costs, geography, market size, local production, consumer habits and climate-related disruptions.