Food prices may be affected by the Norwegian Competition Authority’s decision against the grocery chains, according to Sifo researcher Alexander Schjøll at Oslo Met. – I think the prices of the same products will vary more between grocery chains. It is therefore important that consumers follow along, he says. On Wednesday, the food chains received billions in fees and a clear message from the Norwegian Competition Authority to stop checking each other’s prices with price hunters, as they have done since 2011. – Does that mean that the goods are getting cheaper now, Schjøll? – It is difficult to say. They might as well be more expensive. There will be more fluctuations, so you never really know when a price is good or bad. That could be a problem, he replies. Believes the fees will not lead to increased prices The Norwegian Competition Authority has been investigating the grocery chains since 2018. The chains have always denied having engaged in illegal price collusion which has made the prices in the shops higher than they should be. In recent years, food prices have risen sharply. In the last year alone, food prices have risen by 4.9 per cent. Increased food prices The comparison of food prices and the wage trend says something about whether you get more, less or the same amount for your money. When the development of food prices is higher than the development of wages, it means that food has become more expensive. Both figures are averages for the specified period. Read more about sources and reservations here. How much food prices have increased in the last year, in comparison with wage trends But food researcher Ivar Pettersen in Alo Analyze believes that the price hunter collaboration that has taken place over several years has had a marginal effect on price trends in recent years. – Have we been paying too much for our groceries for a few years now? – It is very difficult to say. I think it is important that we keep it clear to us that the price of groceries is primarily a question of costs, he replies. Food researcher Ivar Pettersen in Alo Analyse believes that the price hunter cooperation that has taken place over several years has had marginal significance for price developments in recent years. Photo: H. Philip Hofgaard He does not believe that the fees that the Norwegian Competition Authority imposes on the grocery chains will lead to increased prices in the shops. – We will not notice a price increase in the shops because of this. It means very little to consumers, he replies. – Where does the profit go? Recently, several people have been critical of the high prices and low competition in the grocery industry. Earlier this month, among others, the Norwegian Farmers’ Union criticized the high food prices. Head of the Norwegian Farmers’ Association, Bjørn Gimming, thinks it is interesting that the Norwegian Competition Authority has concluded that the practices of the chains limit competition. – If it is the case that consumers have been paying too much for years, I wonder where the profits will be? In any case, our calculations show that the shops have added significantly more to the retail price than what the price changes the farmer receives would indicate, he says. The head of the Norwegian Farmers Association thinks it is interesting that the Norwegian Competition Authority has concluded that the practices of the chains limit competition. Photo: Jon Petrusson / news Worried about the competition On Tuesday, the government expressed a concern about the competition authority in the grocery industry. Industry Minister Cecilie Myrseth (Ap) does not want to comment on the specific case the Competition Authority has now investigated, but says on a general basis that she is concerned about competition in the industry. – The grocery industry is characterized by the fact that there are few and large players, and it is difficult for small and new players to establish themselves. It is good that we have a competition authority that actively enforces the Competition Act. It is good for competition and consumers, she says. Published 21.08.2024, at 18.05
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Researchers believe that food could just as easily become more expensive – news Norway – Overview of news from various parts of the country
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