Supermarkets were imposing large markups on customers for specific fruits and vegetables, according to the Competition Commission's fresh produce market inquiry report. The report, which was made public in Pretoria on Monday, was issued after the fresh produce market's yearly revenue — excluding exports and informal sales — surpassed R53 billion.
It identifies a number of persistent issues facing the sector that are also impeding growth. It was determined that large retailers such as Shoprite Checkers, Pick n Pay, Woolworths, Spar Group, Food Lover's Market, and Massmart needed to update their fresh produce pricing policies for each 100g.
According to the report, consumers find it difficult to compare prices across retailers or even within the same store because fresh produce prices are frequently displayed per unit. The commission's deputy commissioner, Hardin Ratshisusu, drew attention to packaging size discrepancies, such as selling tomatoes in 3kg bags when other retailers sell them in 1kg or 3.5kg bags.
These discrepancies make weighted pricing opaque and impede fair competition. With a suggestion to put these changes into effect within a year, Ratshisusu emphasized the significance of clearly and easily displaying weighted prices to assist customers in making informed decisions.
If you wish to read the report, you can do so by clicking here.
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