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The Cheap Food 'Mantra'

The Cheap Food 'Mantra' - Stack it high! Sell it low![21]

As a prelude to this critique of supermarkets, we must acknowledge that they have achieved an awesome and audacious feat of logistics.

They have created for themselves a supply chain that moves with synchronicity and efficiency to transport millions of tonnes of 'cheap food' onto the shelves each day (known in the jargon as 'Efficient Consumer Response'), and to make a healthy profit for themselves and their shareholders.

What is the truth behind cheap food? Supermarkets claim that this is what the consumer wants, and a recent survey by the Food Standards Agency in September 2001 supports this. It showed that 46% responded that price was the key determinant for choosing their food; 18% chose taste, 17% chose quality, and only 12% put health first.[22]

But supermarkets are not a good deal for the consumer. While certain key items, such as bread and milk, are cheap, this is because supermarkets use them as 'loss leaders' to entice the customer in with the impression that the whole store is cheap. Bread and milk are known value items (KVIs). Customers will find that products that they are less familiar with the price of can often be obtained more cheaply in local independent shops. This is especially true of fresh fruit and vegetables.

But more than this, the 'cheap food' that the supermarkets peddle also comes at a very high price to taxpayers, small manufacturers, small farmers and the environment. We deserve affordable food, yes, but also healthy food, healthy communities, healthy small businesses and a healthy countryside.

We can't let the supermarkets get away with blaming consumers for demanding 'cheap food', when it is essentially only they who benefit.

References
[21] Famous "market stall" slogan of Jack Cohen, founder of Tesco.

[22] UK: Cheaper food No.1' 2/10/01 www.kamcity.com/namnews/asp/newsarticle.asp?newsid=6737
 
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