Consumers are paying more than they need to for many food products, according to the Competition Authority. Lack of competition in the food supply chain is cited as the explanation, writes the authority on its website.
The consequence is also that the money does not always end up where it is needed to promote new establishments, investments, and increased production, writes the Competition Authority.
The lack of competition can be explained, among other things, by the fact that there are few players in the daily goods trade, but also in the processing industry, adds the authority.
In its analysis of the sector, the Competition Authority concludes that the peak of price increases for food products was reached in March 2023 and since then, prices have remained at a high level.
The largest price increases occurred in the supplier segment, but the daily goods trade has simultaneously been able to increase profit margins. Consumers have therefore paid more for certain food products than they would need to, writes the authority.
