Israeli Supermarket Sales Rise Moderately Despite Cost of Living Concerns

The Israeli Central Bureau of Statistics (CBS) released data showing a continued increase in supermarket sales from April to June 2026, despite ongoing cost of living pressures. Total revenue across major retail chains rose by 3.3% in this period, following a sharper 6.8% increase in the first quarter of the year. Specifically, food retail chains saw a 1.6% sales increase, down from 5.4% in the previous quarter, indicating a slowdown in growth.

The CBS explains that sales data are divided into two main categories: food-focused chains and those specializing in other products such as textiles, footwear, durable goods, cosmetics, pharmaceuticals, toys, books, office supplies, and optics. These figures are based on monthly surveys from leading chains and serve as a timely economic indicator, preceding official retail trade reports by about a month.

While the data show rising sales in large supermarket chains, the CBS cautions this does not necessarily mean overall consumer spending is increasing. Shifts from small local stores to larger chains, due to new branch openings or closures of smaller outlets, may influence the numbers. The food chain sales figures also include non-food items like cleaning products, providing a broader view of household consumption.

The current trend raises questions about Israeli consumer behavior: whether the slower growth signals the start of spending cuts or a natural stabilization after earlier rapid increases. Upcoming data releases will clarify if this moderation continues or if consumption patterns shift further. For now, despite economic challenges, Israelis continue to spend in supermarket chains, albeit at a more moderate pace than earlier in 2026.