Retailer Kaufland has announced that it has removed around 480 Unilever products from its shelves in Germany, in a pricing dispute that echoes the spat between Edeka and Nestlé earlier this year.
The retailer, which is part of the Schwarz Group, has removed products under brands including Knorr, Bertolli, Ben & Jerry's, Magnum, Domestos, Dove and many more.
Geographical Impact
In addition to Germany, Kaufland's operations in Poland, Croatia, Romania, Bulgaria, Czech Republic and Slovakia are also taking steps to freeze orders of some Unilever products, according to trade publication Rundschau für den Lebensmittelhandel.
It is understood that the Unilever assortment has been replaced with a selection of the group's own private label brands.
A statement issued by Kaufland said that while the two businesses had 'built up a good relationship over several decades' the FMCG giant had 'drastically increased purchasing prices for Kaufland in the short term, and Kaufland has not accepted this'.
A spokesperson for Kaufland was quoted by Rundschau as saying that Unilever's new pricing structure does "nor allow us to offer our customers the best price, in addition to wide selection and high quality".
© 2018 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: European Supermarket Magazine.
