Bond vs Leahy

The top boys of Tesco and Asda have gone head to head to go green. Sir Terry Leahy in one corner the chief exec. of the biggest supermarket in the UK said a brining a; "revolution in green consumption; "would hit his customers pockets.

Andy Bond in the other corner stating that Asda's prices will fall as the company goes green. "The environment is absolutely fundamental, but we think it will actually save money. "

Deathofthehighstreet forecasted a price war just days ago and this new green war is developing as Asda have lowered around 10,000 prices since the turn of the year to spark a price war with Tesco.

In the Bond vs Leahy Deathofthehighstreet Bond's views are a just to gain points against Leahy will it work? Will he get his customers? Not likely.

Sainsbury could be the winners of this handbags row as Justin King - the other boss - sits and watches as his company actually seem to be doing the most. Deathofthehighstreet took a look around one Sainsbury's store to find;

- 33% recycled carrier bags

- Make a difference days - free reusable bags, replaced for free. (when the bags are sold all money gets to charity)
- Deathofthehighstreet sees the most locally produced products.

A fair effort form the company now will Asda and Tesco come through on their promises.

The green WAR will continue but the price war is just about here as well.

Price WAR

A supermarket price war may be on its way. A supplier from Asda reported earlier this week that they have negotiated a 10% to 12% price rise for its produces but Asda are not increasing the prices of this product, hitting there profits hard.

The company plans to absorb the heavy increase in food costs, estimated suggest cost could rise a huge 30%. This is all good news for our suppliers but the consumer could see a massive increase in prices after a price war if Tesco and Sainsbury’s enter this arena.

Deathofthehighstreet sees that suppliers and producer are getting a fair deal which is very pleasing but if smaller stores have to pay increased prices for their goods then prices will rise if supermarket ensue a price war this could be the next phase in the decline of our high streets. Deathofthehighstreet will watch this develop over the coming days and weeks.

A fair deal?

Sainsbury’s is to give its milk farmers their fourth pay increase of the year. The company is acknowledging that the farmers have received a bad deal in the past. They will receive an extra 1.5p a litre.

The move was in response to Tesco’s move to pay producers an extra 5.5p a litre two days ago.

Deathofthehighstreet is pleased that the two big supermarket chains are now giving some of the hardest hit produccers a fairer deal.