Concern Over Cross Border Shopping
Swedish Radio News reports there’s concern among retailers in Denmark that people there are shopping in southern Sweden. They want the Danish government to launch a study into the issue.
Research from the Swedish Retail Institute indicates that Danes spent around 600 million dollars in Sweden during the first half of this year, of which the cross border trade in the south was around 150 million dollars. But it’s unclear how much this has affected Danish retailers.
One reason for the interest across the border is that the value added tax on food in Denmark is 25 percent, twice the rate in Sweden. On the other hand, the concern comes as the Swedish krona is at its highest level in years, encouraging Swede to make purchases abroad.