In Belgium, Lidl calls for the elimination of sales tax on fruits and vegetables

In a widely noted open letter, Lidl is asking the Belgian federal government to eliminate the VAT on fresh fruits and vegetables. The discount retailer has committed to passing on the full reduction to consumers, citing its own experiences in Denmark.

Consumers respond to financial incentives

Currently, a 6% VAT rate applies to fruits and vegetables. Now that the government is also considering a possible VAT reform as part of the budget talks, the supermarket chain is advocating for reducing that rate to zero. The company says this is not just a cost but also an investment: such a measure would make fresh food more affordable while encouraging healthier dietary choices. The VAT reduction would be immediately noticeable at the checkout, and Lidl is committed to passing on the full reduction in its prices so that this benefit goes directly to the consumer.

Lidl previously observed in Denmark that eliminating VAT can also influence purchasing behavior. In 2024, the chain temporarily lowered the price of fruits and vegetables by absorbing an amount equal to the VAT. During that period, sales rose by more than 10%. This demonstrates that consumers are responsive to financial incentives when it comes to adjusting their dietary habits. Meanwhile, the zero-rate policy is also included in the Danish coalition agreement.