Supermarkets and manufacturers cannot reach an agreement on price increases for food. This threatens to create empty shelves, supermarket experts tell ANP news agency.
‘Manufacturers are often seen offering price increases. But despite the evidence they have, supermarkets are keeping their asses on the cradle because they claim they want to protect consumers,’ says retail consultant Erik Hemmes. He also sees it in supermarkets. “Then you see empty shelves with signs saying, ‘Temporarily Unavailable.'” Supermarkets hope to put pressure on producers by not buying produce at all, resulting in empty shelves.
More expensive groceries expected
However, groceries will become more expensive again in the coming months, supermarket experts expect. Prices have already risen 14 percent so far. It is not yet clear how long prices will continue to rise. “I wouldn’t be surprised if groceries become 3 to 4 percent more expensive in 2023,” reports marketing expert Paul Moers. According to the supermarket connoisseur, the negotiations for this year are taking longer than usual and have never been as tough as now.
Read more | IInflation falls to 7.6 percent, but daily groceries remain expensive
Even the supermarket trade association CBL admits that the negotiations are currently becoming “more and more intense”. “If producers are pressured like this, they might still be willing to give in a little bit. On the other hand, you see that sometimes it can take six months before an agreement is reached.’
Ukrainian War
Supermarkets try to delay price hikes for as long as possible, says Hemmes. But how long food prices continue to rise depends on the war in Ukraine and what the prices of commodities like grain and energy will do.
Source: BNR
Andrew Dwight is an author and economy journalist who writes for 24 News Globe. He has a deep understanding of financial markets and a passion for analyzing economic trends and news. With a talent for breaking down complex economic concepts into easily understandable terms, Andrew has become a respected voice in the field of economics journalism.
