Blog: UK consumers cheesed off at price-fixing claims
Dean Best | 20 September 2007
Claims of price-fixing in the UK dairy sector are pretty ironic given the price increases being paid to the country’s farmers this year as milk supply tightens.
The UK’s competition watchdog claims the country’s largest supermarkets and number of its leading dairy processors colluded to raise the price of milk, butter and cheese – leaving shoppers out of pocket to the tune of GBP270m (US$542m).
The period under review is 2002/03, a time when farmers were under severe financial pressure and many were leaving the industry. Now, farmers are reaping the benefits of bumper price rises amid heightened demand and restricted supply.
The story is full of irony. Claims that retailer and supplier joined forces to illegally fix prices is an unrecognisable picture to many food processors facing perpetual pressure from retailers on price. Indeed, in recent weeks, some suppliers have even called for a “supermarket watchdog” to ensure UK retailers do not abuse their power.
Nevertheless, the whole situation just feeds the growing scepticism among the UK public over the motives of the country’s retailers. Just the allegation that the supermarkets trousered the extra cash from higher dairy prices will leave shoppers all the more certain that the likes of Tesco, Asda and Morrisons are only interested in profiteering from consumers.
A new report by the Soil Association has highlighted a lack of healthy lunch options at the cafes of some of the UK's most prestigious visitor attractions....
The BBC turned to just-food today for insight on the price dispute between Tesco and Unilever....
Just weeks after buying UK turkey processor Bernard Matthews from administration, food tycoon Ranjit Boparan has struck a similar deal....
- Nestle India grows with global, digital innovation
- Analysis: Tyson's shrewd investment in Beyond Meat
- Thailand: convenience to continue to thrive
- Focus: Thai demographics drive health categories
- How Nestle tackles Indian challenges - interview
- Mars launches Maltesers in the US
- Bel takes majority stake in MOM Group
- Campbell backs US nutrition start-up Habit
- Nestle's Buitoni to remove GMOs
- Unilever in continuing price spat with Musgrave
- The Big 15: Strategies and Priorities of Top Packaged Food Players in Comparison
- Omega-3 in Food and Beverage:Time for a Reboot?
- Packaged Food: Quarterly Statement Q3 2016
- Global Food Packaging: Innovating for Greater Convenience and Quality Image
- Meat Processing in China - Industry Market Research Report