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The prices of butter in promotional campaigns of the chain have already fallen below the cost of production. The dairy industry is outraged. – These may even be dumping activities on the part of the chain to destabilize the market – says Agnieszka Maliszewska, director of the Polish Chamber of Milk in an interview with the rp.pl portal.
In recent days, the prices of a cube of butter in supermarkets and discounters have dropped significantly. Consumers have reasons to be happy, but the dairy industry is wringing its hands and appealing to the government to intervene. The Central Statistical Office reports that
in 2022, the price of butter increased by 20%.
.
Now you can buy a cube for as little as PLN 2.99.
Meanwhile, data from the Ministry of Agriculture say that at the turn of January and February, dairy cooperatives sold butter at PLN 4.48 per 200-gram cube.
Agnieszka Maliszewska, director of the Polish Chamber of Milk
suspects retail chains of dumping activities
(sales at prices lower than production costs). – The question is, why do networks start dumping? Maybe the Office of Competition and Consumer Protection will answer them? – the expert asks in an interview with rp.pl.
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The problem may be another: networks may have too much butter and therefore try to get rid of it.
–
Butter was too expensive, now it is being promoted so that it does not linger on the shelves
and thus did not cause losses and did not spoil the market – explains Andrzej Faliński, vice-president of the Social Dialogue Forum and former director of the Polish Trade and Distribution Organization.
Butter is getting cheaper. Networks make money on other products
He adds that
butter is a product to which price changes consumers are very sensitive.
Therefore, the chains want to reduce its price as much as possible, even at the expense of obtaining any margin, and earn money on other products. This attracts customers to the store.
Dairymen are appealing to the government for intervention because they fear the collapse of the sector and a decline in production.
The milkmen sent a letter asking for intervention on January 24 to the Minister of Agriculture. As they claim, the current rates are below the level of profitability of production.
source: rp.pl
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Source: money.pl
