Dutch food industry warns supermarket prices will fluctuate more
Stable prices in Dutch supermarkets are becoming less certain as sharply fluctuating commodity costs increasingly shape the cost of groceries, the Dutch food industry warned Thursday.
Cees-Jan Adema, director of the Federation of Dutch Food Industry (FNLI), said consumers “will have to get used to increasingly volatile prices as a result of strongly fluctuating raw material costs.”
Products dependent on international markets, such as coffee and cocoa, are particularly vulnerable. FNLI said climate change is already affecting harvests, while geopolitical tensions and logistical challenges add unpredictable transport costs. Grains are also sensitive to these market swings.
Dairy and meat prices face similar pressures. Costs for livestock feed, tied to global grain markets, can vary sharply, affecting overall pricing.
Domestic factors also play a role. “Due to the nitrogen debate in the Netherlands and the buyout scheme for farmers, supply will shrink,” FNLI said. Last week, Dutch farmers warned that rising beef prices and mounting regulations are threatening food affordability and the survival of livestock farms.
“Where we were used to relatively stable prices, we will have to adjust to a more dynamic market picture,” FNLI concluded. “The entire supply chain shares responsibility: ensuring affordability for everyone without compromising the business model of farmers, producers, and supermarkets.”
Reporting by ANP and NL Times
