Argentina supermarket sales plunge in Q1 2026 as purchasing power erodes

Supermarket sales across Argentina fell sharply in the first quarter of 2026. Data from INDEC and a Politikon Chaco study show a 5.1% year‑on‑year decline in total sales for March, the steepest drop since November 2024. Twenty‑one of the 24 provinces recorded negative growth, with Corrientes and Tucumán falling over 10%, while only Neuquén and San Luis posted modest gains of 2.3% and 0.6% respectively. The Greater Buenos Aires area contracted 6.8%, and the City of Buenos Aires saw a marginal decline of 0.4%.

Consumer habits shifted as families cut discretionary spending. Only meat and bakery categories grew above inflation, while electronics, apparel, beverages and other staple goods saw significant sales drops. Analysts say the downturn deepens the social and regional gap, with lower‑income households hit hardest by rising tariffs, food, transport and service costs. The slowdown hampers the government's narrative of economic recovery and raises concerns for small retailers and SMEs that rely on daily consumer traffic.

The report highlights the need to monitor these trends as they may affect broader economic stability and policy decisions in Argentina.