Panel SA: Food retail opens 2022 with disappointing January, says industry union

Food retailers are concerned about the scenario that 2022 has been showing so far, according to Álvaro Furtado, president of Sincovaga (union of retail food items).

He says that the month of January was a huge disappointment. The first month of the year is usually bad, as consumers travel and are tight with December spending and start-of-year taxes, but this one was worse.

“The results were far below the expected minimum, that is, there were significant cuts even in the basic items to eat”, says Álvaro Furtado, president of Sincovaga.

In addition to the normal reduction in the flow of customers, there was a greater drop in the value of the average ticket, according to him.

“My assessment is that this is a reflection of a very difficult economic situation. We are in a process of high unemployment. Consumption depends on income, and even those who did not lose their jobs had an adjustment below inflation, which means that the purchasing power has decreased”, he says.

Furtado still complains about the pressure of rising transport and energy costs and the impact of the exchange rate. The concern affects retailers of all sizes, he said.

Joana Cunha with Andressa Motter and Ana Paula Branco