The National Audit Association of Consumer Cooperatives “Społem” has submitted an official notification to the Office of Competition and Consumer Protection regarding butter promotions recently used by the Lidl and Biedronka chains. The head of the Office of Competition and Consumer Protection, Tomasz Chróstny, received a letter regarding this matter. Its authors believe that the practices of popular discount stores harm the collective interests of consumers and may be considered unfair competition.
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KZRSS “Społem” wants an investigation by the Office of Competition and Consumer Protection
According to KZRSS Społem, butter prices of PLN 0.99-1.99 per 200 g cube used by store chains over the last three months may mean sales below the purchase cost. According to the association, these prices are drastically different from market realities and dangerous for the food market, and the minimum, economically justified retail price should range from PLN 4.90 to PLN 6.90 per cube. “Społem” indicates that smaller commercial entities, including Polish cooperatives, are not able to compete with such an aggressive pricing policy.
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“The long-term effects of such actions may be particularly unfavorable for the market – leading to the weakening of smaller participants, limiting competition and making consumers dependent on the largest retail chains,” we read in the letter, quoted by DlaHandlu.
“Społem” expects specific actions from the Office of Competition and Consumer Protection, including: conducting an investigation into the pricing policy of retail chains in the butter segment, analyzing the relationship between retail prices and purchase prices of this product, as well as assessing whether the practices used constitute an act of unfair competition or a violation of the collective interests of consumers.
