- According to information from the “Lebensmittelzeitung”, Aldi Süd wants to cut the selling prices for meat and sausages.
- According to an internal letter, prices for pork products are to be lowered on May 29.
- The initiative comes at a time when the meat industry in Germany is heavily criticized due to hygiene problems.
Despite the current discussions about the grievances in the German meat industry, Aldi is now speaking up with a surprising move: The discounter is calling for price cuts for meat and sausages. This reports the “Lebensmittelzeitung” (LZ), which is an internal letter from Aldi Süd. According to the newspaper, Aldi justifies this with the current difficult market situation. According to the discounter plans to lower the selling price for pork products on May 29.
The letter refers to the current weak market situation for pork and to taking advantage of it to be able to offer cheaper prices. “Our common goal should be to take up this dynamic development very quickly and to implement it in an attractive offer for our customers.” , is in the letter according to “LZ”. Similar letters from Aldi Nord are said to be heard from the meat industry.
Other traders could follow suit
A price reduction from the discounters, which are already much cheaper anyway, would probably cause similar reactions among competitors such as Lidl, Kaufland, Edeka and Rewe. Traders would have to follow suit in the competitive market and also lower prices.
According to “LZ” information, Aldi wants to achieve this through more flexible pricing, which they are currently negotiating with their suppliers. This approach would “deliberately reflect fluctuations in prices in both directions, both falling and rising prices”. This applies not only to sausage and meat products, but to all commodity groups that are “very volatile and erratic”. The flexible design also affects falling price levels, so it is not a “one-way street”.
According to the “LZ”, the manufacturers could not understand Aldi’s approach and were very unhappy with the move. Aldi is said to light the fuse on a political powder keg. In fact, the proposal comes at an unfavorable time: the corona measures incur higher costs for the manufacturers and are likely to be even higher in the future, because it is currently being discussed that the current ones are apparently not yet sufficient. Many corona cases occur repeatedly in many meat businesses in Germany. Criticism of the hygiene standards was raised. Demanding even lower meat prices in this situation, which are already very cheap in discounters, could send the wrong signal.