Biedronka terminates its contract with a large manufacturer. Sweets may disappear from stores
According to a statement from Wawel, on March 31, the company received from Jeronimo Martins Polska a notice of termination of the sales agreement concluded in December 2022.
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“The notice was given with three months' notice” – the company said.
This means that the cooperation may end in the second quarter of 2026.
Up to 20 percent revenues are in question
The importance of this decision for Wawel is enormous.
In 2025, sales to Biedronka were responsible for 19.9 percent company's revenueswhich amounted to approximately PLN 739 million.
This means that the possible termination of cooperation may be one of the biggest shocks in the company's history.
The market reacted immediately – Wawel shares fell by over 4%.
Wawel sweets may disappear from Biedronka
If the parties do not reach an agreement, Wawel's products may disappear from the shelves of the largest retail chain in Poland.
This would mean not only a decline in sales, but also a loss of access to millions of customers. The separation means that Wawel sweets will not be available in the chain's stores after the notice period.
Is this the final end of cooperation? This is not certain yet. Wawel emphasizes that it is in contact with the contractor and plans talks.
“The company will enter into talks to define a potential new framework for commercial relations,” we read in the statement.
The notice period therefore gives time for renegotiations – although their outcome remains uncertain.
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A dispute over prices and margins in the background
Although the official reasons for the termination were not given, the market context suggests price tensions, according to “Rzeczpospolita”.
For years, relations between manufacturers and discounters have become increasingly difficult – the rising costs of raw materials, especially cocoa and sugar, collide with the pressure of retail chains to maintain low prices.
Chains such as Biedronka have a strong negotiating position and often do not accept product price increases, as reported by “Rz”.
Additionally, the importance of private labels is growing, allowing chains to increase margins and control the offer.
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