Brexit now affecting supermarkets?

[e1y1]

Tesco has dropped all 200 of Unilever's brands from store shelves, over a dispute over pricing.

Unilever is blaming Brexit as the reason for wanting a 10% price increase for supply of it's products.

Whereas, MPs are saying Unilever are just using Brexit as a smokescreen to raise prices.

Unilever own some of the biggest brands in the UK - Persil, PG Tips, Dove, Hellmans etc.

And with Tesco's being the UKs biggest supermarket chain, this can't be good (other supermarkets have also said they would drop the brands as opposed to absorbing a price hike).

Do you think Brexit is really now affecting our supermarket shelves?

Sorry for the source (but would imagine it's in others too as heard it on the radio) HERE

10℅is a very round and convenient number to add across the board. Sounds like Unilever are trying to make it as quick and painless (and profitable) as they can for themselves and Tesco are doing what they do best which is act pissed off by pulling all the products. This will be stage 1 of price negotiation basically. But Levers I guess had to go in high and tough to get anywhere near the numbers they needed with Tesco

Crikey.

Food prices soaring and the economy tanking but it's all fine and dandy because we can all just gets jobs picking fruit and veg and living off the land.

What kind of fantasy world are you living in?

The Irish wouldn't have it...

There are many small countries in the EU..

So if that is correct would Scotland form a union with another EU country I wonder

Hardly would make them independent does it?

A yes vote isn't inevitable either.

SleepFreeZone
Does anyone know if the EU would take Scotland on its own if Independance were to happen?

No they would not continue to be in the EU. Too many countries with separatists of their own. They will block it.

They would be forced to apply as a new country I suspect regardless of what they say or how they spin it.

A vote to leave the UK would therefore be a vote to leave the EU too.

Scotland could try and go through the process of joining the EU as a new nation. Again they might face opposition as it requires unanimity of the EU (again the separatist issue is the problem).

But as someone on another thread pointed out to me, they would have a good case to go down the EFTA route and keep the single market and freedom of movement. This starts to be a good selling point if the rUK is determined to go for Hard Brexit.

It could end up being a choice of sovereignty and ETFA v being forced to do what Westminister says and Hard Brexit. The Euro could also be a lot more attractive as a currency and a break from London.

Anyone willing to offer £20 for a full unopened jar of Marmite? I have a couple in the cupboard... Actually scratch that. I wouldn't give it away for £20. I don't like Bovril and vegemite is rancid.

Pmsl HelenaDove out of this whole thread that's the point you want to focus on? 🙊

Red I think I was the only Vegemite supporter, and I'm from Australia so reckon I'm allowed.

One question for Scotland I suppose is, is it just England and Westminster that they wish to be Independent from? If we had a Federal system, would they want Independence?

This is just two capitalist corporate giants locking horns. Unilever make billions and want to profit more, Tesco are happy to screw over smaller suppliers but don't like it when somebody bigger wants to screw them

I think this is what makes it more interesting Tesco chap used to work at Unilever - poacher turned gamekeeper. He knows what's going on here

I think a properly federal system where Westminster pretty much just looks after foreign policy/defence which the home nations pay for and everything else was fully defolved it would kill off independence.

The Northern Irish populace, who voted overwhelmingly in favour of staying in the EU, are unique in that they have a border with an EU country. 56% for remaining as against 44% to leave. As opposed to 52% to 48% overall in England and Wales.

www.bbc.co.uk/news/uk-northern-ireland-36614443

Plus it may affect the Good Friday Agreement. It will but this has been left to judicial determination, which is now in reserved judgement. It will go further.

Plus those in England and Wales have launched their own judicial judgements.

www.bbc.co.uk/news/uk-politics-37639307

Scotland were even higher to Remain. 62% as opposed to 38%

www.bbc.co.uk/news/politics/eu_referendum/results

Scotland should get its act together. There is no use in appealing to Theresa May. Get into the courts!

I think that both companies are probably making a political point here as they have interests as part of the EU

BUT the pound has nearly reduced in value by 20% (currently 17%). Its a hike that even big companies can not sustain and take. Its represents a significant percentage of their profit margin and it will be applicable to a vast number of their products.

The change unilever is pursuing is 10%. This is still less than the change to the pound, so they are absorbing part of the cost.

The message is perhaps 'May get your act together and stabilise the pound'.

Whether you want Brexit or not, that's a fair and essential message.

The Scottish gov have a senior lawyer attending the a50 court hearing today on their behalf. (watch this space is what I read from that)

The case is representing some Scottish interests and part of the challenge covers the act of union.

Sorry judicial judgements should be judicial review.

Don't expect that Article 50 will be happening before the end of March 2017.

I doubt unilever were running costings with the pound at 1.42 so they would have had a good while of making money from currency. Also, surely they would have hedged further forward than October??

Also, surely they would have hedged further forward than October??

Yep, but that was reflected in past prices. The cost of future hedging is likely to be built in from now.

I thought Scotland had decided that the best bet was to go for another referendum?

www.bbc.co.uk/news/uk-scotland-scotland-politics-37634338

On the basis that the first referendum was null and void given that Scotland was promised to stay within the EU.

Brexit isn't going to end well, is it? I look forward to those who have voted to exit getting their pitchforks out and rampaging through the streets. I'm so scared...

Elendon - I would love to be proved wrong and DH gets cross at me for not being more optimistic but I fear we have triggered armageddon for Britain as we know it.

Under given the demographic of those who voted Brexit I seriously doubt a revolution would take place.

lordashcroftpolls.com/2016/06/how-the-united-kingdom-voted-and-why/

User147.... That's if there are any mushroom farms left to work on http://www.rte.ie/news/business/2016/0831/813144-jobs/