Report: Food inflation hit record high in May
Data and technology company Numerator took a pulse on grocery inflation, and found it hit record highs in May. For the four-week period ending May 29, grocery store prices rose 14.6% year-on-year, from 12.1% in early May. This represents the largest increase in grocery prices since tracking began a year ago.
United States: Stop & Shop will invest $140 million in its New York stores
The Ahold Delhaize Stop & Shop banner has announced a $140 million capital investment in its New York stores which, in addition to a “new look”, will include thousands of new items from around the world “to ensure that the “Each store’s assortment reflects the diversity of the neighborhood it serves,” the retailer said in a statement. The renovations will also showcase value, Stop & Shop said, with sales bins and the addition of the instant food program, which offers fresh food nearing its expiry date at up to 50% off.
United States: The Giant Co. will open two new stores in Philadelphia
The Giant Co., based in Carlisle, Pennsylvania, forecast a busy summer by announcing the opening of two new stores in the Philadelphia area. The first location will be at 501 N. Broad St. in Philadelphia, which opens June 24, and the second will open July 1 at 1025 Second St. Pike in Richboro, Pennsylvania, The Giant Co. said in a statement.
Walmart struggles to meet consumer needs in China
The Wall Street Journal reports: “Walmart has grown in China, but more slowly than its competitors. His giant hypermarkets, which he originally hoped would enable him to become a retail leader in China, have struggled for years to keep pace with Chinese retailers, known for their range of local products and more recently for fast home deliveries.
Defiant Gorillas “not leaving Belgium”
A fortnight ago, Gorillas announced that it had to reorganize and focus on its four main European markets (Germany, France, the Netherlands and the United Kingdom) plus the United States. For the other four markets (Belgium, Denmark, Italy and Spain), the Germans would look at “all strategic options”: all the followers understood that a departure was imminent, but the management now denies that this is true. At first, the HLN newspaper reported that the management was confirming the withdrawal, citing an internal letter. Later, however, other outlets later reported that no decision had yet been made and that the withdrawal was just one of many scenarios management wanted the unions to run. According to the management itself, the decision has now been taken to stay in Belgium, but to close a number of sites.
The objective of SPAR Netherlands is to double its distribution network within three years
Coinciding with SPAR’s 90th anniversary, John van der Ent, CEO of SPAR Netherlands, announced the company’s expansion plans. The retailer’s vision is to double its retail network to 1,000 in three years from the current level of 455. SPAR Netherlands’ vision is to be the king of convenience in the retail segment , with an expansion of the number of stores essential to realizing this vision.
UK: Morrisons raises wages as stores battle for staff
Morrisons is raising the wages of its store workers as UK supermarkets battle for staff amid growing competition in the industry. It will pay staff a minimum of £10.20 an hour, which the company says makes it Britain’s highest-paid supermarket. Morrisons said the offer would mean a pay rise for 80,000 of its employees across the country.
Ninjacart Joins Ynsect and Pinduoduo at Food Future Asia Forum to Discuss Agrifood System Investments
According to a Food Future Asia forum roundtable involving NinjaCart, Ynsect, Next Gen Foods and Pinduoduo, the main reason to invest in other start-ups is to gain market access or new product categories. “There are a lot of issues to address in the agricultural supply chain,” said Ben Mathew, chief strategy officer at NinjaCart, India’s largest fresh produce supply chain company. “And it’s not possible to solve them all internally.”
UK: Inflationary pressures are straining relationships between retailers and suppliers
Inflation has weakened relationships between designated UK retailers and their suppliers, the Groceries Code Adjudicator’s (GCA) 2022 sector inquiry has found. The results of the survey conducted by YouGov, suggest that after two years of the pandemic where retailers and suppliers have worked closely together and improved their relationship, the pressure of rising prices has strained relations, and Code-related issues between the two have also increased. Faced with these difficult conditions, the performance of traders is mixed. Aldi returns to the top of the rankings with a score of 98% and in total five retailers have improved or maintained their score despite challenges in the sector.
Spain: Caprabo allows customers to use their own containers
Spanish retailer Caprabo has spear a new sustainable shopping initiative by allowing customers to bring their own containers from home to transport their purchases. Traders will be able to take home fresh produce from the fish, butcher and charcuterie departments in their own containers. Caprabo, which already authorizes purchases in reusable nets in the fruit and vegetable section of most of its supermarkets, will roll out the initiative in the 137 stores with a fresh produce section.
130 million euros in fines imposed on Portuguese supermarket chains
Supermarkets Auchan, E. Leclerc, Modelo Continente and Pingo Doce, as well as supplier Unilever, have been fined more than 130 million euros by the Competition Authority (AdC) for a price-fixing system to consumption. “The investigation concluded that, thanks to the contacts established by [Unilever], without the need to communicate directly with each other, the participating distribution companies ensured the alignment of retail prices in their supermarkets. This is a conspiracy equivalent to a cartel, known in competition law terminology as a “hub-spoke” model”, detailed the AdC in a press release. Auchan was fined 16 .19 million euros, Modelo Continente at 50.8 million euros and Pingo Doce at 35.7 million euros, Unilever will pay 26.6 M€, and E.Leclerc 2.9 M€.