8/ Euro Bargains in Europe.

- Ten days after the introduction of euro notes and coin shoppers have begun to discover some bargains. The single currency means that for the first time European shoppers can directly compare prices across frontiers. One route theyve taking is between Strasbourg in France and Kehl in Germany. Jon Sopels been finding out why. - Now we are coming in Germany. - Once a week , Ursula Gori-Kaminski leaves her home in Strasbourg in France, to cross to border to fill up her car with petrol in Germany. While we were at the filling station, every car on the forecourt was French. - Petrol is less expensive here in Germany and till we have the euro, its very more simple to pay with euro. You have not to

be um to , to ask if you have Deutschmark or something like that. Its more easier to pay with euro now. - And this is the town they head to, Kehl. VAT is lower in Germany, but prices for toileteries, clothes and electrical goods are way cheaper. With the introduction of the euro, its been childs play to work out the difference. Games costing 25 to 30 euros in France are only 15 euros here, says this boy, almost half-price, its incredible. And so the manager of this department store thinks the euro is going to be a oneway bet for this German border town. Its win-win. - I just hope that in Germany we can maintain our competitive advantage by keeping VAT lower than our neighbours. - And of course the losers would be supermarkets like this on the French side

of the border, whose prices are now transparently more expensive. The answer, say French economists, is for taxes to be brought into line. - There will probably there will be some, some pressure by er, firms, companies and shops to, er, to try to change that, or to push in this direction. - There have always been cross-border bargain hunters here in Strasbourg and across Europe, but the introduction of euro makes that so much easier. Now, some companies are looking at policies to equalise prices. But more controversially, there will be increased pressure on governments to harmonise taxes still further.