This supermarket is set to raise prices due to electricity costs
Supermarket Woolworths is set to raise prices to “outrun the bear” of rising electricity costs.
Chief executive Brad Banducci said the growing competition has put an end to the Coles-Woolworths duopoly and that soaring electricity prices would lead to higher prices on the shelves.
“Given the cost increases that are coming through right now, we are trying to outrun a bear, but I am not sure we can,” he told the Sydney Morning Herald.
“We will have to in some way, very cautiously and carefully, pass those through to our customers, unfortunately.”
Electricity was Woolworths third-biggest cost after staff and landlords.
Although Woolworths beat Coles in sales growth for the first time in seven years, it has not been enough to absorb the high costs.