Denmark's recently introduced tax on food and drinks is driving shoppers to neighbouring Germany at an unprecedented level, according to a survey by the Danish Grocers’ Trade Organisation (DSK).
The survey shows that 60% of Danish households have bought beer or soft drinks in Germany within the past year. Only four years ago, 60% of the households said in the same survey that they “never” traded at the German border.
A large amount of the beer, which is bought in Germany, actually comes from Denmark. Last year Danish breweries exported 1.2 billion units to the German border shops. In 2011, Danish families on average bought 420 units of beer or soda in the German border shops, and the number is rising.
“This [the rise in the border trade] is due to the tax increases on specific consumer goods which where introduced by the Danish government at the start of the year. This is what we see the effects of now,” Claus Bøgelund Nielsen, vice president at DSK, told EurActiv.
On 1 January, the Danish government introduced higher taxes on beer, wine, chocolate, candy, sodas, ice, cream, coffee, tea and light bulbs. The government also raised the tax on tobacco starting in April.
Pretty much I TOLD YOU SO.