Ahold Delhaize, the parent of Albert Heijn, wants suppliers to pass on the decreased prices of raw materials and energy so that Ahold can pass on those lower prices to customers.
The group’s top executive Frans Muller in an interview with RTL Z invites suppliers to reduce prices so the group will be able to provide better prices to final customers.
READ ALSO : To maintain profits, Ahold Delhaize accelerates cost-cutting.
Muller says he expects a “downward spiral” in product prices. That may be because energy prices and commodity prices such as grain and sunflower oil are falling.
Ook Albert Heijnmoeder Ahold-Delhaize merkt de gevolgen van #inflatie en moet z’n best doen om te besparen, zegt topman Frans Muller in gesprek met #RTLZ. Nu grondstofprijzen dalen zouden boodschappen wel goedkoper kunnen worden. pic.twitter.com/qMEJmJ27Es
— RTL Z (@RTLZ) February 15, 2023
He does think that for the overall year 2023, prices will remain generally higher than consumers were used to a few years ago, before corona.
“That is the conversation we are having with our suppliers, raw material prices are going down, only then can prices also go down, so we can also pass it on to customers,” Muller said.
He does caution that price trends cannot be predicted exactly. Also, many producers, suppliers and retailers are dealing with structurally increased costs, such as wages and energy, Muller said. “What we do is take into account the possibility of lower purchase prices. We have also included this in our contracts with suppliers and we are now following that up as prices for energy and some raw materials fall.”