German food retailers are once again in the spotlight as the country’s competition authorities starts the next phase of their investigation into the sector.
The Bundeskartellamt has kicked off the second phase of its inquiry into the relationship between suppliers and retailers in the food retail sector by sending out requests for information to almost 200 food producers.
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“With the sector inquiry we intend to take a closer look at buyer power in the food retail sector and base the current debate on a solid body of data. The results will make proceedings in the food sector along the value chain easier and shed more light on the relevance of buyer power in the sector,” president of the competition watchdog Andreas Mundt said.
The “buying power” of Germany’s food retailers has come under increasing scrutiny as the authorities continue their investigations. According to reports, the Federal Cartel Office has told German publication Lebensmittel Zeitung that a planned buying partnership between Wasgau and Rewe violates German cartel legislation.
A spokesperson for Rewe confirmed it plans to establish a buying partnership with the regional retailer, in which the German retail giant holds a 25.1% stake. However, the group declined to comment on whether the buying partnership was under investigation.
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