Aldi will be more expensive

Aldi has already raised their prices of almost half their products in Germany, and now they have pronounces that also in the Netherlands they will raise their prices.
The reasons are always the same: high energy prices and a raise of the prices from cereals, milk and oils. Because these raw materials are used in a lot of products, are there a lot of products which prices will increase.

Also Colruyt thinks that they won’t escape to a rise of the price level but they say that they
will hold to their generalship of lowest prices.

Some suppliers have to declaim there contracts, because of the amount of the price rise. Another problem is that the price of fungible goods will raise because their is more demand, par example rice and cereals.

Professor Gino Van Ossel thinks that Aldi makes a large price adjustment, because it has a lot of basic product in their assortment. He think’s that is the reason why the expensive raw materials have such an impact on the prices of Aldi.

But Van Ossel thinks that the price rise will have some delay, because of the concurrential situation in Belgium. Colruyt namely shows clearly their price advantage against other supermarkets like Aldi and Lidl. But he also knows that Belgium will also suffer of the high prices of raw materials: “it’s not allowed to sell with loss, the expensive raw materials are to important to be ignored” he says.

I think it’s normal that the supermarket will raise their prices because of the expensive raw materials. Professor Van Ossel explains it correct: you can’t sell with loss, so ypu have to raise your prices. The only thing we can do as customer is hoping that the price of raw materials will descend again, so the supermarkets can drop their prices.

Source: http://www.nieuwsblad.be/Article/Detail.aspx?ArticleID=A51IGL39