Dutch regulator to investigate grocery prices

Core Viewpoint - The Dutch competition authority, ACM, has initiated an investigation into grocery prices in supermarkets, driven by claims that certain food products are priced higher than in neighboring countries [1][2]. Investigation Details - The investigation will analyze price breakdowns and formations for products in the average grocery basket, focusing on profit margins of suppliers and retailers, as well as price comparisons with supermarkets in other countries [2]. - Findings from the investigation are expected to be released by mid-next year, and ACM has the authority to recommend legislative changes or take enforcement actions if violations are found [3]. Industry Response - The Dutch food industry association, FNLI, has expressed support for the investigation, emphasizing that supermarket prices are determined by the retailers and noting that food prices in the Netherlands are 1.1% lower than the EU average [3]. - FNLI acknowledged that there are legitimate reasons for price differences, such as fiscal policies and market competition, and stated that the investigation should foster a more objective discussion about rising food prices [4]. - The association also highlighted concerns regarding the pressure on food manufacturers from purchasing alliances and supermarkets, which could hinder necessary investments in sustainability [5].