Cross-border shopping boom sees France, Luxembourg, Germany, and the Netherlands become key retail destinations
BRUSSELS – From cheap wine in France to budget fuel in Luxembourg and affordable household products in Germany, cross-border shopping is no longer a niche habit but a way of life for many Belgians.
Faced with steep domestic prices and persistent inflation, a growing number of residents are looking beyond Belgium’s borders to fill their shopping carts with cheaper goods—resulting in hundreds of millions of euros in spending being diverted abroad each year.
According to the latest figures from the Belgian Food Industry Federation (Fevia), more than one in three Belgians crossed the border to shop at least once every five weeks in 2023.
That translated to a record €764 million spent in foreign supermarkets—an increase of 40% compared to 2022. The result is a significant drain on the Belgian economy, with tax authorities estimating a loss of nearly €140 million in VAT revenue alone last year.
“With half the population living within 50 kilometres of an international border, it’s simply too easy—and too tempting—not to go,” said Carole Dembour, senior economic affairs advisor at Fevia.
France Leads the Charge
The top destination for Belgian bargain hunters is France, accounting for nearly two-thirds (64%) of cross-border supermarket spending. The reasons are clear: cheaper prices, familiar language, and convenient infrastructure.
A joint 2023 study by Gondola Academy and price comparison firm Daltix revealed that average grocery prices in France are up to 44% lower than in Belgium.
The study, based on 2,605 identical products, highlighted steep savings in categories like household goods (27.06% less), non-food items (26.42%), and personal care products (22.76%).
At the hypermarket in Roncq—just a few kilometres from the Belgian border—cars with Belgian plates often outnumber locals. “We come for everything from wine and fizzy drinks to frozen meat and deodorant,” said a shopper from Kortrijk. “It’s worth the trip every time.”
France’s relatively low food inflation (1.5% in April 2025, compared to 5.1% in Belgium) and a rigid price-setting system help keep costs in check.
Legally binding three-month pricing windows, as well as strict bans on speculatory pricing in the food sector, contrast sharply with Belgium’s more volatile pricing environment and high VAT rates—21% on most goods.
Luxembourg: Cheap Cigarettes and Cheaper Fuel
Despite its reputation as one of Europe’s most expensive countries, Luxembourg remains a magnet for Belgian consumers—particularly smokers and motorists. In 2023, Belgians spent an estimated €110 million in the Grand Duchy, much of it on cigarettes and petrol.
Cigarettes cost less than €6 a pack in Luxembourg, compared to over €10.50 in Belgium—thanks to significantly lower excise duties. As a result, Belgians, who make up about 20% of the smoking population, are making frequent visits to tobacco outlets and petrol stations just across the border.
Fuel is another major draw. As of late May, E95 petrol cost €1.458 per litre in Luxembourg, compared to €1.55 in Belgium. Diesel is nearly 30 cents cheaper. Luxembourg’s VAT on fuel is just 15%, and its lower duties make a noticeable difference at the pump.
But this border-shopping boom has environmental consequences. Luxembourg’s National Energy and Climate Plan has acknowledged that 70% of fuel emissions stem from non-resident drivers—many of them Belgian.
Germany: Tech Deals and Household Bargains
German supermarkets may be less frequented on a daily basis, but they are still a stronghold for certain products. From REWE outlets offering low-cost detergents to online giants like Zalando and Amazon.de, Germany continues to lure Belgian consumers with attractive pricing and quality.
A 2023 Price Observatory report found household and cleaning products to be on average 14.7% more expensive in Belgium. In one extreme case, Belgian consumers reported paying €27 for dishwasher tablets at Colruyt—compared to just €9 in Germany.
Technology and appliances are also major drivers of German retail appeal. “German-made electronics often cost less and are considered more reliable,” said consumer analyst Tom Janssens. “Online orders from German retailers have seen consistent year-on-year growth.”
Germany also replaced the UK as the top European cross-border e-commerce market for Belgium in 2023, sending more than 30% of Belgium’s imported goods.
Netherlands: Premium Products and Stylish Supermarkets
About 20% of Belgian cross-border shoppers head north to the Netherlands, though Dutch prices don’t always offer the same discounts as France or Germany. Still, the Netherlands is growing in popularity—up 15% in 2023—especially for those seeking premium or specialty items.
Dutch supermarkets like Albert Heijn are increasingly viewed as destinations for high-quality dairy, cheese, processed foods, and cleaning products. Despite only being around 4.5% cheaper than their Belgian counterparts on average, they attract Belgian shoppers with frequent promotions—such as buy-one-get-one-free offers—and a more modern shopping experience.
In a 2024 survey by YouGov, Albert Heijn was ranked the most popular supermarket among Belgian consumers. Though average receipt amounts are low—just €33—it suggests that Belgians are visiting for specific, targeted purchases rather than full shopping trips.
Higher inflation in the Netherlands (4.1% in April 2025) may dampen this trend in the long term, but for now, the Dutch approach to retail—efficient, promotional, and polished—is winning fans across the border.
A Growing Dilemma for Belgian Retail
While cross-border shopping is a win for consumers, it poses a challenge for domestic retailers and tax authorities. Retailers face mounting pressure to keep prices competitive, while the state loses significant revenue that could otherwise be reinvested into public services.
Fevia and other industry groups have called on the government to review VAT and excise rates, as well as explore mechanisms to stabilize pricing domestically. “Belgium needs to ask itself why consumers feel they need to drive 20, 30, or 50 kilometres just to afford basic goods,” said Dembour.
As long as that question remains unanswered, the lure of cheaper shopping abroad will likely continue—and Belgium’s borders will remain busy.
