Tesco has withdrawn its troops in the long running banana price war by lifting the price of the fruit commodity.
The UK’s largest retailer had been at the centre of the debate as prices plummeted to 55p a kilo this month, but it has brought the price back up to 69p/kg.
Its rivals have followed suit with Sainsbury’s and Morrisons both retailing the fruit at 69p/kg.
Asda and Sainsbury’s were both retailing at 55p/kg last week, and Asda is still the cheapest of the big four supermarkets, selling at 67p/kg on Wednesday.
Sainsbury’s commitment to sell 100 per cent Fairtrade bananas means it is likely to have lost margin on the premium product while the price was at a lower level.
One banana importer told FPJ: “Consumers do not know the price of the product so the supermarkets competing on price is pointless.”
No comments yet