Facts and arguments

Compared to August 2006, food prices rose by 10,9 per cent, which is above the average rate of inflation. Food prices are also rising drastically in the world market, as a result of decreasing corn production duo to changing weather. This trend is expected to continue in the long run. Good collaboration between retailers and supplier is no reason for retailers to accept higher price increases than justified. Real incomes have also shrunk and for retailers consumers come first. It is not in the interest of producers or retailers to see a drop in turnover as a result of excessive price rises.