January 27, 2023

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Daily Food Exchange, Price War | The price war is over: raise food prices by up to 500%

The online newspaper checked the prices for a small shopping cart in Extra, Kiwi and Rema 1000. The same prices were also checked in December. Four items increase by 70 percent or more.

  • Almond potatoes increased by 511 percent in Extra and by more than 300 percent in Kiwi and Rema 1000.
  • Clementine increased by 382 percent in Kiwi and nearly 200 percent in the other two regions.
  • The porridge increased the geisha by exactly the same amount for all three, up 184 percent.
  • Twistposen has been up between 70 and 80 percent since December.

Look at all the numbers on the can

A surprisingly large increase

– This is a massive increase, and it amazes me that they are taking such resolute action. I would have thought they were more careful, says Tor W. Andreessen, a professor at the Norwegian School of Economics (NHH).

It is believed that the pre-Christmas price war was very fierce this year and that this may explain some of the strong increase.

– It is clear that the goods, the prices of which sometimes rise sharply, were sold at a loss in December and were decoys. Andreessen says stores know customers are putting more than just temptations into the basket.

Politicians follow

At the same time, the professor is surprised that the chains are raising prices so sharply.

This is a tough time and the industry knows that politicians pay a lot of attention. Therefore, I expected a cautious price increase. He says they have to rely on media coverage and politicians get that too.


The professor believes that sharp price increases give the chains their credibility problems.

– Kiwi declares that it is on the side of consumers and says it is lowering prices. Now the opposite is happening. Now they’re not so much on the side of consumers, Andreessen says, as on their side.

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Kiwi: – Every day

Kiwi believes it is wrong to draw conclusions based on examining 12 items when there are about 5,000 items in store.

– Gosh! Professor Andreessen shows surprisingly little understanding of how campaigns and the marketplace work, says Kristen Arvin, Kiwi’s director of communications.

It notes that commodities such as clementines, potatoes, almonds and rice were cut sharply in December.

– In this test, prices from Christmas campaigns from December are compared to normal prices from January, so it is completely wrong to use this basis to conclude that prices are increasing, says Arvin.

Selling goods at a loss

Rema 1000 and Extra also believe that significant price changes are a matter of normalization rather than an actual price hike.

The Christmas trade is important and the competition is fierce. Some of the goods were sold to the customer cheaper than we actually paid for the goods to the supplier, says Line Aarnes, Category and Purchasing Manager at Rema 1000.

– Items that increase in price, such as clementines, potatoes, almonds and rice, are typical Christmas items that we have sharply reduced their prices in the run-up to Christmas. Several products we didn’t make a profit on, and now the price level is normal, says Series Director Daniel Kerry Pedersen at Extra

Read more answers from the chains down.

Afraid that there will be a big rush

Not all items checked increase in price. Cauliflower has really gotten cheaper since December. However, people should prepare for new price increases in the future. Suppliers revised their prices in February and there was a lot of excitement about how strong the increase has been this year.

– It is difficult to predict what will happen in February. Now I think they might want to “shoot” and raise prices sharply. Nothing surprises me anymore when it comes to this industry. Maybe they’ll get a real hit like they did last summer, says NHH professor Tor W. Andreassen.

goods Additional, the price is in kronor they change Rema 1000, price in kroner they change Kiwi, price in krona they change
Almond potatoes are cheaper, 2-3 kg bag, per kg 29.95 511.2% 19.96 307.3% 23.45 378.6%
Clementine, cheaper, 1 kg 19.90 188.4% 29.90 202.0% 29.90 382.3%
Geisha porridge 800 g 32,40 184.2% 32,40 184.2% 32,40 184.2%
Freya twist 330 gm 64.90 80.8% 64.90 73.5% 64.90 73.5%
Sauerkraut, Nora, 450 gr 15.90 101.3% 15.90 60.6% 15.90 101.3%
Whipped cream, figs, 3 dl 21.90 18.4% 21.90 18.4% 21.90 18.4%
Hatting coarse round pieces *, 10 pcs 31,40 16.7% 31,40 16.7% 31,40 16.7%
Original Nougat * 500 grams 32.90 13.8% 32.90 13.8% 32.90 13.8%
Pepsi Max * 4 cans without deposit, 4 x 1.5 liters 64.90 0.0% 64.90 0.0% 64.90 0.0%
Dairy butter, figs, 500g 47.20 0.0% 47.20 0.0% 47.20 0.0%
Synnøve Original Yellow Cheese*, per kg 109.00 0.0% 109.00 0.0% 109.00 0.0%
broccoli * 1 pc 8.90 −40.3% 8.90 −40.3% 8.90 −40.3%
sum 479.25 27.0% 479.26 24.90% 482.75 27.7%
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This is how the price is checked

Online newspapers checked prices on January 3 in Extra, Kiwi and Rema 1000. Prices for tested commodities were also checked in December. Starred items checked by VG on Dec 6. The others were checked by Nettavisen on December 16th.

This is how strings respond:

RIMA 1000, Class and Purchasing Manager Line Arness:

Christmas shopping is important for the Rema 1000 company, and the battle for the cheapest grocery chain is fierce. That’s why we run campaigns on many items that we know are important to customers in connection with Christmas. Some of the goods were sold cheaper than what Rema 1000 actually paid for the goods to the supplier. Prices now after Christmas are a price normalization after the campaign period, and are not related to the price adjustment from suppliers that will come on July 1st and February 1st.

Extra, Series Director Daniel Kerry Pedersen:

It’s no surprise that Extra is the cheapest series in the survey, or that prices have skyrocketed on these very products. The commodities that are highly priced here, such as clementines, potatoes, almonds, and rice, are typical Christmas commodities that we have cut in prices sharply in the run-up to Christmas. We didn’t make a profit on many products, and now the price level is normal. Extra must have lower prices for items that customers use the most, so they also see yellow cheese, Pepsi and broccoli as cheap or actually cheaper than in December, where typical Christmas items were the lowest in price. It is the suppliers who have raised the purchase prices from February 1st. Through the media, they announced significant price increases. It is impossible to predict how quoted prices from suppliers will increase. What I can promise is that Extra will do everything in their power not to increase prices for customers, who own us, more than absolutely necessary.

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Kiwi, Communications Director Christine Arvin:

Our cheapest clementines are now NOK 19.90 a kilo, but unfortunately they were sold out when Nettavisen discontinued. There is no price increase now, but prices have been adjusted back to the normal price before the December campaign. The customer is the boss at Kiwi, and we must have the best prices, whether in everyday life or at parties. Our campaigns are always based on products that are relevant to the customer at the time they are in. Clementines, potatoes, almonds, and rice porridge are always sold out in December, but now we’ve slashed the prices of many of our most important everyday products. In this test, the prices of the Christmas campaigns from December are compared with the normal prices from January, so it is completely wrong to use this basis to conclude that prices are increasing. If you’ve filled your cart with, say, Norveg, fish cakes, chicken strips, tortilla chips, fish gratin, motti tomatoes, 6-pack Pepsi Max, salad and oranges, you’ll get a sharp dip from December to January.