Asda cutting vegetable prices to win over shoppers
As a result, record low prices for festive vegetables has raised concern about the pressure it could put on the supermarkets’ suppliers. The extent of the price cuts could also dent the profits for both parties.
It is also widely expected that food prices will rise next year as inflation feeds into the market following almost two years of deflation, which could be helpful to the supermarkets during the most intensely competitive time for the food retail sector.
However, with around half of supermarkets’ produce sourced from abroad in non-sterling currency, they will face higher import costs which may be passed on to shoppers in the future.
source: telegraph.co.uk
