Erik Lundberg, CEO of Ica Sweden, says after the meeting that the competition is tough in the food retail industry in Sweden.
The facts we have presented show that import prices and producer prices have increased more than consumer prices. It clearly shows that we have not been able to pass on the price increases we have received because the competition is very, very tough out there, he says.
Anders Torell, CEO of Coop Sweden, believes that the company has streamlined both store and warehouse operations, but that increased prices for materials, wages, and electricity are forcing Coop to raise prices.
The proposals we put forward to keep prices down are reduced VAT, primarily on fruit and vegetables. Reduced employer contributions and regulatory changes that can help us reduce costs, he says.
Competition can improve
Regarding competition, he believes that it is functioning but can improve.
We are open to regulatory changes that can increase competition.
Karin Brynell, CEO of Swedish Grocery Trade, thinks that the discussion with the government was constructive and that she has received attention for her organization's proposals for regulatory simplifications, including the possibility of establishing food stores.
I think we left with the feeling that everyone has the same picture of reality. That is, we have a price development rate that is due to external factors and that we have exactly the same development in all European countries. So, any solutions cannot be found in Sweden, says Karin Brynell.
When it comes to high food prices, she does not think that the industry can influence them.
Wants to see more low-price stores
Simone Margulies, CEO of Axfood, is also positive about the meeting with the government.
We were able to present four concrete proposals that politics can help with to keep cost increases and price increases down, she says and continues.
The absolute most important thing we see is to enable the establishment of more low-price stores. In Sweden, a third of the country's municipalities lack low-price alternatives.
Lidl's CEO Jakob Josefsson also wishes to establish more low-price stores in the country.
And then primarily with a focus on the planning monopoly that exists in the municipalities, he says.
That is, the municipalities decide how their land can be used, something that low-price operators have long claimed has disadvantaged them.
