Greedflation? Food Brands Might Be Taking Advantage of Shoppers, Alleges Tesco Chairman.It's "entirely possible" that food producers aren't being 100% transparent.
ByAmanda Breen•
Costs at the grocery store andgas pumphave spiked amidinflation, but it might not all be as inevitable as it seems.
John Allan, chairman ofTesco(one of Britain's largest supermarket chains), toldthe BBCthat it was "entirely possible" that food producers are taking advantage of the situation — and lower-income consumers.
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Allan said Tesco is challenging companies it believes are unnecessarilyincreasing prices: "We have a team who can look at the composition of food, costs of commodities, and work out whether or not these cost increases are legitimate."
But consumer group Which? claimed that Tesco and other supermarkets might just be deflecting the blame,CNBC Mondayreported.
According toWhich?'s latest Supermarket Inflation tracker, December food and drink inflation was at 15% year-over-year across eight major supermarkets, with own-brand products seeing higher rates of inflation (18.5%) compared to branded items (12.5%).
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“尽管越来越多的人选择自主品牌和basic products to help them through the cost of living, these ranges have been subject tohigher rates of inflationthan premium and branded foods," Reena Sewraz, Which? retail editor, told CNBC.
