NewsEmpty shelves at Edeka, Rewe and Netto - What's...

Empty shelves at Edeka, Rewe and Netto – What's behind it

Created: 10/12/2022 11:52 am

Several supermarket chains are arguing with manufacturers over prices. The supply suffers as a result.

Berlin/New York – Germany’s retailers Rewe, Edeka and Netto continue to receive no products from the US manufacturer Mars. The background is a dispute between the food giants and retailers over prices. According to a report by Lebensmittelzeitung , this repeatedly leads to empty shelves at Netto, Edeka and Rewe.

Because: The US group Mars owns around 300 brands, some of which are very well-known, for example from the confectionery or animal feed range. Prominent examples are Twix, Snickers, Wrigley’s, Bounty, Pedigree, Whiskas, Frolic or Sheba.

At Edeka, Rewe and Netto, some supermarket shelves are empty these days. (symbol photo) © Arnulf Stoffel / dpa

Rewe, Edeka, Netto: dispute over prices with manufacturers escalates

As mentioned at the beginning, higher prices that Mars wants to push through are the reason for the dispute. Negotiations with Edeka and Netto have been dragging on for months. Rewe recently joined in. Carsten Simon, head of confectionery at Mars, told Lebensmittelzeitung that his company “urgently needs a second price increase this year”. The prices for logistics, energy and raw materials have become significantly more expensive as a result of the Ukraine war.

Retailers are forecasting a rapid price increase for consumers. Lionel Souque, head of Rewe, emphasized: “The majority are free riders […] who surf the price wave and benefit from it in order to improve their results.” The demands of the US group, for example, are fought “brutally”. In addition to Rewe, Edeka also warned customers about price increases in supermarkets. “Food must not become a luxury good,” said Markus Mosa, head of Edeka.

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Rewe boss: “It’s totally unrealistic”

Compared to Edeka, however, Rewe has already announced that it does not want to pass all price increases on to consumers. One also accepts the impact on profits. “Many come and announce price increases of ten percent and say Rewe should pass this on to the customer,” said Souque, according to a report by the Reuters news agency: “It’s totally unrealistic.”

However, the majority of suppliers behave sensibly, emphasized the Rewe boss. It is a matter of a few: “But we have a problem with the very large manufacturers who have the power to enforce claims.” (tu / dpa)

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