In the week in which the VAT exemption came into force on a set of 46 food products, the price of the basket of essential goods dropped by more than three euros, and now costs 222.95 euros, according to the accounts carried out by the Portuguese Association for the Defense of the Consumer (DECO).
Between 12 and 19 April, the food basket monitored by Deco – which tracks 63 food products – fell by 1.54% (minus 3.47 euros), from 226.42 euros to 222.95 euros. It is the biggest weekly drop since March 22.
Helping to explain the drop in prices was the entry into force, on Tuesday, of VAT at 0%, on 46 food products. The measure is the result of a tripartite agreement between the Government, production and distribution, with the latter having the task of identifying the items that will be tax-free until October 31.
During the last week, perch was the product that rose the most, registering an increase of 11% (plus one euro). This is followed by cereal flakes (7%), Frankfurt sausages (6%), fresh hake, golden apples, salmon and boneless pork loin (all with increases of 4%) and virgin olive oil, cereals and turkey leg (all 3%).