One of the first things many travelers notice after arriving in Panama is just how impressive the supermarket scene is. Visitors often expect small grocery stores, corner markets, and limited selection, especially if they have been traveling through other parts of Central America. Instead, they discover enormous supermarkets packed with local products, imported foods, fresh produce, bakeries, pharmacies, household goods, electronics, clothing, and just about everything else imaginable. For backpackers, expats, long term travelers, and even Panamanians themselves, supermarkets play a surprisingly important role in everyday life. They are where travelers stock up for road trips, where backpackers buy supplies for hostel kitchens, where families do their weekly shopping, and where budget conscious visitors can dramatically reduce the cost of a trip. Understanding the major supermarket chains is one of the easiest ways to save money in Panama because not all supermarkets are created equal. Some focus on imported goods and premium products. Others focus on low prices and value. Knowing the difference can make a huge impact on your budget.
The First Surprise: Panama Has Massive Supermarkets
Many visitors are genuinely surprised by the size of Panama's grocery stores. In Panama City especially, some supermarkets feel more like giant North American hypermarkets than traditional grocery stores. Entire aisles are devoted to imported foods. Bakery sections produce fresh bread throughout the day. Produce departments carry fruits and vegetables from across the country. Many locations have pharmacies, prepared foods, liquor departments, bakeries, and household goods all under one roof. Some stores are so large that you can buy groceries, a toaster, school supplies, clothing, and a bicycle during the same shopping trip. This is one reason Panama is often considered one of the easiest countries in Central America for long term travelers. Finding supplies is rarely difficult.
The Budget Champion: Xtra
When Panamanians talk about saving money on groceries, one name comes up repeatedly: Xtra. Many shoppers consider Xtra the most aggressively budget focused of the major supermarket chains. The stores are built around affordability and practical everyday shopping. You generally won't find the same extensive imported food selection that exists at higher end supermarkets, but what you will find is lower prices on many staples, household goods, produce, meats, and everyday necessities. Numerous guides and local discussions consistently describe Xtra as one of the cheapest major chains in the country. For travelers trying to stretch a budget, stock a hostel kitchen, or buy groceries for a longer stay, Xtra often becomes a favorite stop.
What makes Xtra particularly interesting is that it serves a huge cross section of Panamanian society. You will find students, families, retirees, workers, and long term travelers all shopping side by side. The chain has expanded significantly over the years because it successfully targets people who want the best possible value without sacrificing access to basic necessities. In many discussions among local shoppers, Xtra is frequently mentioned as having one of the strongest price to value ratios among Panama's major supermarket brands.
The People's Supermarket: Super 99
If there is a supermarket chain that many travelers encounter first, it is probably Super 99. The stores are everywhere. Whether you are in Panama City, David, Santiago, or many other parts of the country, there is a good chance you will see a Super 99 nearby. It occupies a middle ground between the discount focus of Xtra and the premium focus of stores like Riba Smith. Many shoppers view Super 99 as offering one of the best balances between affordability, convenience, and selection. Prices are generally lower than El Rey and Riba Smith while still maintaining a broad inventory of products. This combination has made it one of the most popular supermarket chains in the country.
For travelers, Super 99 is often the sweet spot. The stores are easy to find, carry a large variety of products, and usually have enough imported foods to satisfy visitors without charging premium supermarket prices. If someone asks where to shop in Panama without spending too much money while still having plenty of options, Super 99 is frequently the first recommendation. Many local shoppers consider it the Walmart equivalent of Panama because of its combination of scale, accessibility, and value.
A well known example is Super 99 | Condado del Rey, one of the many locations serving Panama City shoppers.
The Giant Everything Store: El Machetazo
Then there is El Machetazo, which almost deserves its own category.
Imagine a supermarket mixed with a department store, hardware store, clothing shop, electronics retailer, toy store, and household goods warehouse. That is essentially what El Machetazo has become. Many visitors walk into one for the first time expecting a grocery store and emerge amazed by the sheer variety of products available. You can buy food, clothing, kitchen supplies, electronics, school supplies, appliances, and home goods all in one place. Several sources compare it to a giant budget hypermarket.
What really gives El Machetazo its loyal following is value. The chain has long been associated with affordable prices and practical shopping. Many Panamanians visit not only for groceries but for almost everything else they need as well. For travelers furnishing an apartment, buying camping supplies, replacing clothing, or stocking up on groceries, it can be an incredibly useful stop. Some locations even operate twenty four hours a day, making them especially convenient for travelers arriving late or leaving early.
Some notable locations include:
El Machetazo | Costa Sur
El Machetazo | Calidonia
El Machetazo | El Dorado
El Machetazo | Nuevo Tocumen
The Middle Ground: El Rey
El Rey occupies a slightly different position in Panama's supermarket ecosystem. The stores are generally clean, organized, and known for quality produce, bakeries, and a good range of products. Many shoppers appreciate the shopping experience itself because stores tend to be well maintained and easy to navigate. However, El Rey is often perceived as somewhat more expensive than Xtra and Super 99. It is not usually considered outrageously expensive, but budget travelers often notice that a grocery basket may cost a bit more compared with the discount chains.
Where El Rey shines is consistency. Travelers looking for specialty foods, dietary products, reliable produce, and a pleasant shopping experience often become fans. It occupies a comfortable middle to upper tier position in the market and is especially popular among expats and middle class Panamanians.
The Imported Goods King: Riba Smith
If Xtra wins the affordability contest, Riba Smith wins the imported goods contest.
Riba Smith has become legendary among expats, international residents, and travelers looking for products that can be difficult to find elsewhere in Panama. American foods, European products, specialty cheeses, vegan products, imported snacks, quality bakery items, and hard to find ingredients often appear here first. Walking through a Riba Smith can feel surprisingly similar to shopping in a North American supermarket.
The tradeoff, of course, is price.
Most shoppers agree that Riba Smith tends to be one of the more expensive supermarket chains in Panama. Many people use it strategically. They buy specialty items there while purchasing everyday staples elsewhere. For travelers craving familiar foods from home, however, Riba Smith can feel like a treasure chest.
The Bulk Buying Option: PriceSmart
For long term visitors, families, and residents, PriceSmart occupies a unique niche. Similar to Costco or Sam's Club, it operates on a membership model and specializes in bulk purchases. Buying large quantities of food, household goods, and essentials can result in substantial savings for those staying in Panama for extended periods. However, it generally makes less sense for short term backpackers unless they are splitting purchases with others.
The Verdict: Which Supermarkets Have the Best Reputation for Affordability?
If you ask ten locals, you may get ten slightly different answers, but a general pattern consistently emerges.
Most affordable overall: Xtra and El Machetazo. These chains have built strong reputations for keeping costs low and focusing on value.
Best balance of price and selection: Super 99. Many shoppers see it as the sweet spot between affordability and variety.
Good quality but somewhat higher prices: El Rey.
Best imported products but highest prices: Riba Smith.
Final Thoughts
One of the great joys of traveling through Panama is discovering that grocery shopping can be an adventure in itself. Whether you are a backpacker stocking a hostel kitchen, a family renting an apartment for a month, a digital nomad living in Panama City, or simply someone curious about local life, the country's supermarkets offer a fascinating window into Panama. You will find tropical fruits you've never seen before, locally produced coffee, fresh bread, imported foods from around the world, and enough variety to keep even the most experienced traveler happy.
For pure budget shopping, Xtra and El Machetazo generally lead the conversation. For the best balance of affordability and convenience, Super 99 remains a favorite. For premium products and imported foods, El Rey and Riba Smith have their loyal followers. The good news is that Panama offers enough choice that every traveler can find a supermarket that matches both their budget and their appetite.