Romania has entered a stage of consumption contraction, with retail sales down 6.5% in January 2026 year-on-year, the largest decrease since the Covid-19 pandemic, amid a decrease in purchasing power, Feliciu Paraschiv, deputy chairman of the National Association of Small and Medium-sized Traders in Romania (ANCMMR), said on Friday.
He added that the decline in consumption affects the entire economic chain, from producers and processors to distributors.
"We are entering a clear stage of consumption contraction. Retail sales and, when I say retail, we have to think that behind retail there is an entire chain. There is the distributor, the processor and the manufacturer. Behind a retailer hides the entire economy or a large part of the national economy. Sales decreased by 6.5% in January 2026 from January 2025. It is the biggest drop since the pandemic," Paraschiv said at the debate "What we learn from crises. The economy is moving from tariff disorder to energy disorder", organized by CLCC - Coalition for Freedom of Trade and Communication.
According to him, annual data confirm the same trend, despite a marginal increase in turnover.
"2025 compared to 2024 did not make us very happy either, although official statistics show us an increase of 0.2%. The increase refers to the turnover. But we should not be fooled, because, if we take into account an inflation rate of 7.8% as an average for the whole year, we see a decrease of 7.6% in volumes. In fact, we collected 0.2% more, but the quantities sold are 7.5-7.6% lower," explained the traders' representative.
He added that the downward trend continued in the first months of 2026.
"The downward trend, unfortunately, is continuous and continued in February. The trend continues in March. Usually, in March we hoped for a revival of the market, but this time it doesn't happen. The decrease continues," Paraschiv said.
In this context, consumer behaviour has changed visibly.
"Purchasing power is the main adjustment factor. Although wages will increase by 5-6% in 2026, inflation will consume almost all of this advance. In real terms, revenues will be 4-6% lower. People buy less, choose cheaper options, postpone large purchases. We have entered the so-called down-trading process, when buyers switch from more expensive products to medium or cheap products, to retailers' own brands and look for offers and promotions," he said.
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