New report: Supermarkets have added at rates 2 percent extra – Aftenposten

– This is the gold standard Listhaug have been waiting for.

CEO Helge Hasselgård in Dagligvareleverandørenes union (DLF) adds Tuesday morning presented a report he believes explains part of the Norwegian food prices.

– food chains have increased their prices to the consumers more than food producers have increased their says Hasselgård with apparent reference to last year’s big price debate in the grocery industry.

When prices rose by 3.2 percent from June to July, and the Food and Agriculture Minister Sylvi Listhaug summoned both suppliers and groceries on the carpet to get an explanation.

Now he thinks that he has this explanation:

Too little competition

Contractors prices to the food chain has increased by 4 percent. In the same period the prices of shop increased by 6 percent. This difference shows that margins increases, the report from Oslo Economics, commissioned by DLF.

The report is also part of Brennpunkt program for power in the grocery industry sent tomorrow night.

Oslo Economics has gained access to suppliers’ prices out to the chains, less all discounts. These rates are compared with prices of the shop, taken from analyst Nilsen database.

– Changes in margins is a measure of market power. The increase here indicates that competition between the chains is reduced, and that they therefore have the opportunity to exercise more market power, says partner Jostein Skaar in Oslo Economics.

food chain will not be blamed for the price increases

Neither Rema 1000 or Norway Group recognize the image presented in the report.

– We believe the increase is taken out elsewhere, says communications director Mette Fossum Beyer in Rema 1000, pointing out the large price differences between supermarkets and Rema 1000.

They are therefore asking for an investigation of the entire market in terms of an independent margin study.

– Contractors own organization produces a distorted picture of reality, says director of industrial policy and government relations Bard Gultvedt in Norway Group.

Replace the real purchasing prices

There have been earlier margin surveys, but not based on chains actual purchase prices.

– It is important to emphasize that this is not about that grocery chains are making more money, says Skaar and continues:

– margins are a measure of market power. When a store can increase their prices without leading to the customers go to another store, it is a direct consequence of less competition.

The concern increases

– This clearly shows that competition is not good enough. Now politicians must take responsibility for ensuring that consumers get the prices of food that they deserve, says Hasselgård adding that concern this has been there a long time.

– Now it’s proven. In addition, the concern when we go from four to three grocery operators after Coop did purchase Ica, he said.

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Published: March 16th. 2015 7:45 p.m.