Supermarkets deny '500 percent mark-up' - Audio

I noticed a few weeks ago there was not much difference in buying organic veges from Commonsense, than the supermarket. What about not buying fruit and vege from the supermarkets and go to growers markets instead? If you don't like the prices, go somewhere else - and you get to support more local industries as well. The produce at local markets is usually in season - what you body needs for the time of year - and the odd shaped/coloured bits that supermarkets don't want. If our local industry becomes nonviable, then we run the risk of not producing enough food in our country for our people.

Now that they are in the limelight they are refusing to comment on the margins they hike up over their purchase costs.

We the people have the power to bring them to their knee's. Lets start a direct grower/supplier's market in key areas of the country and lets see our duopoly chains go bankrupt.

Maybe that would teach them a lesson.

What about there can's(baked beans etc) what's the mark up on them!!!

It is crazy the way they raise the prices in the shops,yet what Tania says it is the growers that are being hit through being getting less for their work.It is those markets in between, want their share of the produce costs before hitting the stores.People will not buy by the Kilo but by 2or 3 pieces and at the end of the week there is so much being dumped,by those who run supermarkets so to count for their losses up keeps going the prices.I have seen Feijoas selling for $9-00 per kg,this fruit is scattered all over the ground in different areas of the country,like kiwi fruit is.Another thing also why a lot of people wont buy the pre packaged fruit as they get thrown up into the display shelves,and end up full of bruising.

Having served on the executive of the NZ Retail Fruiterers Assn for many years in the past, I have seen a great number of changes in the industry. The greatest detrimental change was the abolition of the auction system. Until this abolition, every retailer/wholesaler competed on a level playing field, but since then everything has been in favour of the larger retailer whose buying power enables them to dictate prices and choose the best lines of produce on offer.
Much comment has been passed regarding the two supermarket chains, but little has been said about the two wholesale produce markets. In the 1970s there were a number of independant produce markets, but these have been swallowed up by the 'big two', T&G and MG Marketing. Each of these markets have an preferential association with each of the supermarkets eg MG with Foodstuffs, and T&G with Progressive. This leaves the independant retailer at the losing end of the chain when it come to competition.
It is a little known fact that '5 + a day' programme was initially instigated by the NZ Retail Fruiterers Assn by it's then president Jim Lowe in the 70's, along with the logo 'Fresh Tastes Best'.
Dave - some tomato growers were given the option of tray packing and shrink wrapping Tag1 and Tag2 tomatoes for a supermarket, but the cost of packaging was left to the grower. Some of the smaller growers were required to attain an annual turnover figure of $50k to retain a 5% commission charge to the produce markets. Below this figure and the commission charge became 7.5%.
With the auction system all the produce on the floor was cleared every day, however with the direct sale system, what is not sold today is re-presented on the floor tomorrow.
Farmers markets are offering some competition to the supermarket, but the decline in the number of roadside stalls and small retailers plays into supermarket hands.With less competition they can charge whatever like. If there is a lot of waste - review your buying practices

This is the legacy of the underhanded tactics of our overtly oppressive Turners and Growers. This is the very reason why I support John Key in not allowing T&G to gain any control of the Kiwifruit industry. If T&G get any control here it will see a meltdown of the industry overall and the markets will close ranks. This is also why you are seeing a resurgence of the farmers markets. The world is now clearly seeing that the free market model doesn't work. Muldoon told the world this when he was head of the IMF. He also stated that you would need to regulate big industry to do what was right for the people as they won't do it themselves even if it is the right thing to do. So here we are with high prices food thrown out rather than discounted and an obesity epidemic because we can't afford to buy the fruit/vegetables we all should be eating.

If Consumers don't support independent greengrocers,then the 'free market' is dominated by two supermarket chains who squeeze the growers at one end, and kill off the small fruit and vege retailers at the other end. There is no competition and everyone loses in the long run.

I remember a good number of years ago, a Tomato grower complaining. He had been into a large supermarket the day previous and observed cases of his produce being tipped into a large display bin, large, dessert, smalls etc all mixed together. What annoyed him the most was that he had to grade his produce before going to the market and received different prices for it, but the supermarket mixed it all together at the top rate. Upon complaint to the supermarket, the response was that the public like to sort out what they wanted size wise. Seems as if things have not changed very much over the years. No wonder the number of producers in my area have slowly but surely disappeared. Perhaps this is why we are seeing so much overseas produce on our shelves now. And the reason given for this is it because it is out of season for our produce. Oh yeah????????

Of course the supermarkets say they aren't having a 500% mark up and for once they are telling the truth. It's actually between 500-1000%!!! They are not ever going to discount anything to a level where it will cost them. Even if they have quite a good discount it still leaves them with an excellent profit margin. This applies to all retailers not just supermarkets.

My parents have been fruit and vege growers for many years and over the last few years they have been recieving hardly any money for it while in the supermarkets prices are horrendous. over 60% of growers have pulled out in the last two years and more will continue if nothing improves for them. then all we will be getting is overseas crap and a few items produced in our own country. Its unfair on both growers and consumers!!!!!