Strawberry discounting affects basket

Grocer, Feb 23, 2008

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At first glance, fruit and veg prices seemed to have fallen slightly, as our basket shows a 2.9% drop in the five weeks since the last survey--a second consecutive drop. However, a large slice of that came from serious discounting by the major retailers on strawberries, which fell 46.5%. Without the half-price special offers in strawberries the basket price would have risen 4%, as six of the 10 items recorded increases.

Bad weather in Israel, where temperatures of -9C damaged crops last March, has led to a 14.1% hike in the price of new potatoes. All four major retailers are sourcing Israeli crop but it is up to 40% down in volume.

"We are likely to see slightly less crop than was planned, but I don't think supplies are going to be affected significantly;' said British Potato Council market information manager Rob Burrow. "If anything, it may have a positive effect and extend the interest in main crop potatoes a little longer."

White seedless grapes recovered some of the seasonal 53% price fall in the previous basket with a 12.6% rise, and cherry tomatoes did likewise with a 10.3% rise on the back of last month's 12.1% fall.

Apples, pears and green beans all increased in price, making the basket 1.2% more expensive than at this time last year, 4.3% higher than two years ago, but 4.9% cheaper than three years ago. Onions returned to their pre-Christmas price after losing recent gains.

Data based on shelf-edge prices collected during store audits carried out by ESA, the retail research specialist. More information, visit www.esa.co.uk

PRODUCT           18.02.08   14.01.08   CHANGE

Apples              0.58       0.56      +3.6%
Bananas             0.77       0.77         0%
Pears               1.17       1.13      +3.5%
Grapes              2.23       1.98     +12.6%
Strawberries        0.91       1.70     -46.5%
New potatoes        0.89       0.78     +14.1%
Cherry tomatoes     0.64       0.58     +10.3%
Onions              0.72       0.78      -7.7%
Green beans         0.99       0.95      +4.2%
Mushrooms           2.28       2.28         0%

TOTAL ([pounds     11.18      11.51      -2.9%
sterling])

Into: Apples loose, cheapest on display, per kg; Bananas loose, per
kg; Pears loose, cheapest on display, per kg; Grapes white seedless,
per kg; Strawberries cheapest, 227g; New potatoes loose, per kg;
Cherrytomatoes prepacked, 250g; Onions loose, per kg; Green beans
prepacked, 250g; Mushrooms loose, closed cup, per kg.