IRISH CONSUMERS MAY experience shortages of some of the best known retail brands as a price dispute brought about by the collapse of the UK pound spreads to Ireland.
According to the Financial Times, multinational retail conglomerate Unilever has demanded that prices of its products be increased to offset increased import costs.
It’s led to a dispute with retail giant Tesco that, among other things, has meant stocks of Marmite being depleted on UK shelves.
In Ireland, the country’s largest retail group Musgrave Limited has now confirmed a similar dispute with Unilever.
Musgrave owns Super Valu and Centra while Unilever owns host of popular retail brands including Lyon’s Tea, HB, Surf and Persil.
In a statement this afternoon, Super Valu noted that the fall in the value of sterling could benefit Irish customers but that the company is being asked to accept “an unjustified price increase” by Unilever.
“In light of the recent fall in sterling, we have been actively working with relevant suppliers to ensure that savings are passed onto consumers. It is important to note that these discussions are ongoing,” the company said, adding that the dispute could lead to supply issues.
Due to our refusal to accept what we consider to be an unjustified price increase, we may experience some supply issues on certain Unilever products. Negotiations with Unilever, however, are continuing and we are examining all options open to us.
The company goes on to state that it believes a price decrease is warranted rather than a price increase.
Super Valu has not specified which Unilever products may be in short supply.
Unilever refused to comment on its relationship with Tesco and has been asked for comment on the dispute with Super Valu.
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