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Tesco shelves running bare of Heinz products in dispute over pricing
29 June 2022, 16:44
Heinz said it was working closely with Tesco to resolve the situation as quickly as possible.
Tesco’s shelves are running bare of Heinz Beanz and Ketchup products following a dispute over pricing.
It is understood that Heinz has paused supply to the UK’s biggest supermarket chain, leading to gaps on shelves across the brand’s products.
Tesco’s website shows that products including Beanz 4x415g, Sticky Barbecue Sauce 500g, Salad Cream 605g, Baked Beans & Pork Sausages 200g, Beanz No Added Sugar 4x415g Snap Pots 4x200g, Beanz No Added Sugar 200g and Chicken Noodle Soup 400g are unavailable.
A Tesco spokesperson said: “We’re laser-focused on keeping the cost of the weekly shop in check, offering customers great value through our combination of Aldi Price Match, Low Everyday Prices and Clubcard Prices.
“With household budgets under increasing pressure, now more than ever we have a responsibility to ensure customers get the best possible value, and we will not pass on unjustifiable price increases to our customers.
“We’re sorry that this means some products aren’t available right now, but we have plenty of alternatives to choose from and we hope to have this issue resolved soon.”
A Kraft Heinz spokesperson said: “We are working closely with Tesco to resolve the situation as quickly as possible.
“In today’s challenging economic environment – with commodity and production costs rising – many consumers are working within tight budgets. We always look at how we can provide value through price, size and packs so consumers can enjoy the products they love and trust at a price point that works within their budgets, without compromising on quality.
“We are confident of a positive resolution with Tesco.”
Research by The Grocer trade publication, which first reported the dispute, said data showed prices had surged across the entire Heinz range over recent weeks.
The price of a 4x400g pack of Heinz Cream of Tomato Soup, for instance, had risen from £2.50 to £3.50 in Sainsbury’s, while a 4x200g pack of Beanz Snap Pots had risen from £2.50 to £2.99 in Morrisons.
A single 415g can of Beanz in Asda has risen from 90p to £1.20, according retail researchers Assosia.
In recent months food manufacturers have reported rising costs, including for energy and commodities, with some warning they would need to raise the prices they charge to retailers.
However, supermarkets continue to battle each other to win customers, who are reining in their spending to cope with the cost-of-living crisis.
Rising food prices have helped push inflation to a 40-year high and shoppers are already cutting back on the amount of food they buy, according to a survey for the Office for National Statistics.