Lidl: Warning about lower prices on organic products was a mistake
Økologisk NuIt initially sounded like good news for organic customers when Lidl, in a letter to the Danish Parliament's Business and Digitalization Committee on August 18th, stated that the chain planned to permanently lower prices in September on several organic and Fairtrade-labeled foods. In the letter, the chain described the initiative as an "important next step, because lower prices should also include goods that support broader societal agendas such as health, responsible consumption, and sustainable choices." The country's discount chains are engaged in a fierce battle to offer the cheapest goods, and Lidl's plans initially appeared to be a new offensive in the ongoing price war, which Lidl itself sparked in January. However, the chain has now withdrawn the letter requesting to appear before the Business and Digitalization Committee, and in a new letter, the prospect of cheaper organic products has been removed, while Lidl explains to RetailNews that the announcement of lower organic prices was a mistake. "We will not be expanding this at the moment in September. It is not planned. It was a misstatement. But, like the rest of the retail sector, we are constantly working to adjust prices, and it is in our DNA to have the lowest prices," said Claus Krogh, head of corporate affairs at Lidl, to the media. Thus, organic customers, who are calling for lower prices on organic products, will have to rely instead on politicians following the Organic Association's proposal to completely remove VAT on all organic goods.
It initially sounded like good news for organic customers when Lidl, in a letter to the Danish Parliament's Business and Digitalization Committee on August 18th, wrote that the chain planned to permanently lower prices in September on, among other things, several organic and Fairtrade-labeled foods.
In the letter, the chain described the initiative as an "important next step, because lower prices should also include goods that support broader societal agendas such as health, responsible consumption, and sustainable choices."
The country's discount chains are fighting an intense battle to offer the cheapest goods, and Lidl's plans initially appeared to be a new offensive in the ongoing price war, which Lidl itself sparked in January.
But now the chain has withdrawn the letter requesting a hearing before the Danish Parliament's Business and Digitalization Committee, and in a new letter, the prospect of cheaper organic products has been removed while Lidl explains to RetailNews that the announcement of lower organic prices was a mistake.
"We will not be expanding this at the current time in September. It is not planned. It was a misstatement. But we, like the rest of the retail sector, are constantly working to adjust prices, and it is in our DNA to have the lowest prices," said Claus Krogh, head of corporate affairs at Lidl, to the media.
Thus, organic customers who are calling for lower prices on organic products will have to instead rely on politicians following the Organic Association's VAT proposal, which aims to completely remove VAT on all organic goods.