UK food prices to rise as pound drop stirs grocers dispute

Multinational household goods giant Unilever has reportedly demanded a 10 per cent price rise in its products, including those made in the United Kingdom, to offset the higher cost of imported goods.However, according to Reuters, Unilever Chief Financial Officer Graeme Pitkethly said, following the company’s reported results, that discussions over price increases to offset increasing costs are a normal when doing business. The stock levels at the largest United Kingdom grocer are missing a number of Unilever products, in a row over price rises blamed on Brexit and the falling value of sterling.Unilever’s reportedly attempted to raise prices after the pound plunged by almost a fifth against the dollar since the June Brexit vote.It is believed Unilever has since stopped deliveries to Tesco until the row is settled. Protesters outside UK court ahead of Brexit lawsuit
But the issue has split the Conservatives, and Tory lawmakers loudly heckled one another during the six-hour debate. They worry the government has chose to seek a “hard Brexit”, which means leaving the bloc’s single market. His comments come as the Anglo-Dutch consumer goods giant posted third-quarter sales growth on an underlying basis-which strips out the impact of acquisitions, disposals and exchange-rate changes-of 3.2%, down from 5.7% growth in the same period a year earlier.That is pushing up the cost of imports and hurting Unilever’s earnings.Unilever’s shares were down 2.5% in recent trading in London while Tesco’s shares dropped 1.9%.One person with knowledge of the situation at a big four grocer said they had protested against Unilever’s demands, noting that some of the products they wanted to charge more for are actually made in Britain.Unilever, the maker of Marmite and Pot Noodles, has sought to explain the currency hit at the heart of its dispute with Tesco. New Jersey, New York bomb suspect pleads not guilty in police shootings
Union County prosecutors charged Rahami with five counts of attempted murder of a police officer and weapons charges. Rahami was captured after the owner of a bar in Linden found him sleeping in the doorway of his bar. “We are now experiencing availability issues on a number of Unilever products”.Unilever, which reported its latest quarterly earnings on Thursday, addressed the issue of price hikes in a call with analysts.This means sterling is close to a historic new low, on a “trade-weighted basis”, as global markets assess Britain’s prospects out of the EU. Pitkethly said that economic fundamentals remain weak and that he does not expect the market to improve in the fourth quarter.In a statement the company said the items were once again “fully available”. We care deeply about customer affordability of our brands. Unilever product prices to rise due to sterling collapse, says finance chief
Tesco is reported to have refused and the resulting chaos has hit supplies of Unilever products in Tesco outlets. However, Unilever added that it took a hit from currency movements.

Be the first to comment

Leave a Reply

Your email address will not be published.