Grocery prices expected to rise

According to leading trade magazine Distrifood, the prices of several grocery categories are about to increase significantly. Average prices of groceries in the Netherlands are extremely low compared to other European countries due to the retail price war that was started in 2003 and only died down in 2006.

Prices of products such as dairy, bread, cheese and chocolate are about to show a significant increase in price though. The price increases that could turn out to be as high as 20% are mainly due to the fact that many ingredients of the major food categories have increased in price. The increased demand for food products, disappointing harvests due to bad weather and the popularity of bio-fuel has increased pressure on the world market.

Leading retailers such as Ahold and Laurus have announced that the follow the developments closely and will react to movements in the market.