Tesco extends price cuts campaign
Tesco is to slash prices by up to a third across the state to woo bargain-hunting shoppers but admitted charges have also gone up for hundreds of products.
The retail giant today extended its border price cuts campaign to Dublin with plans to roll it out nationwide by August to stem the flow of cross-border shopping.
Yet while claiming massive cuts, bosses said they were forced to increase prices on 200 grocery products around a month ago blaming higher charges from suppliers.
A spokesman for the supermarket said 300 more items had fallen in price on top of the 12,500 announced last month.
“It would more than balance out in terms of reductions,” he said.
“There will always be a possibility or risk of increases if supplier prices increase.”
The supermarket giant introduced its Change for Good price cuts in 31 stores along the border early last month, claiming shoppers can save around €50 per week.
With around €100m being spent in northern shops every year by Dublin consumers, Tesco extended its price cut campaign to nine stores in north Dublin.
These include Balbriggan, Blanchardstown, Artane, Clarehall, Clearwater, Prussia Street, Santry, Jervis St, and Parnell St, with the rest of Tesco’s 29 Dublin stores to follow in a fortnight.
Tony Keohane, CEO Tesco Ireland, said: “We are delighted to extend our border prices to customers in Dublin and we look forward to rolling it out to all other counties in the coming weeks.
“It is proving good for customers, good for jobs and good for the Exchequer.”
Company chiefs claim the border campaign has worked well estimating that €50m less will be spent in the North by shoppers from the Republic this year, rising to €200m when all shops have cut their prices.
The supermarket refuted suggestions the price war being waged by the supermarket will hurt Irish producers.
Mr Keohane said: “Tesco remains as committed as ever to Irish products as you will see in our stores, all of which will be highlighted to guide shoppers to them.
“We are committed to selling Irish products that customers want and a key part of the success of this programme so far has been the performance of many Irish products. Depending on the season, 40% to 50% of sales are of Irish products.”
The company said almost €2bn worth of Irish food and drink products are bought by Tesco every year, with all its fresh beef and lamb coming from Irish farms.
