Warning issued to Tesco, Sainsbury's, Aldi, Lidl shoppers buying butter
A warning has been issued to supermarket shoppers who buy butter as the price SKYROCKETS before Christmas. The Grocer found 37 out of 117 lines at the major supermarkets have gone up in price in the five weeks to November 13.
The statistics and research from the trade magazine show branded butter is the most affected. The trade magazine gives the example of Trewithen Salted Block Butter 250g which has soared 20.8% at Tesco, from £2.40 to £2.90.
All Things Butter Garlic & Herb Butter 125g is up 20% in Waitrose, and Country Life British Salted 250g and Unsalted Butter 250g at Sainsbury’s are up 13%. Asda's 250g block butter is up almost 6% to £1.92. At Sainsbury’s, Tesco, Morrisons, Aldi and Lidl, price of 250g block butter is up 6% from £1.79 to £1.89.
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Harvir Dhillon, economist at the British Retail Consortium, which represents the supermarkets, said: “Tight supplies of milk and cream, due to adverse weather conditions, have led to wholesale butter prices soaring, currently 60% higher than a year ago.
"Prices should start to settle in spring when there will be a greater supply of milk.” In 2024, farmers are contending with higher prices for feed, fuel, and energy, which significantly impact production expenses. Additionally, inflationary pressures are affecting labour costs, as farmers must compete for a limited workforce in an uncertain job market.
These higher production costs inevitably trickle down through the supply chain, causing wholesale butter prices to rise. The price of butter has risen steadily in recent years, with a 18.5% year-on-year increase recorded in the EU wholesale market between 2023 and 2024.
The price of milk, which is the primary ingredient in butter, is influenced by the cost of feed for cows. If feed prices go up due to factors like drought or increased demand, dairy farmers ofte