Industry clashes over potential for food price cuts
Would more competition and an investigation into food prices lead to cheaper groceries? Food merchants think it unlikely, saying there is not much room for discounts.
Would more competition and an investigation into food prices lead to cheaper groceries? Food merchants think it unlikely, saying there is not much room for discounts.
"The whole [Hong Kong] supply chain has much higher costs to it," said CLSA's Jonathan Galligan.
Many imported items were expensive, while others, such as vegetables from southern China and rice, "are the cheapest in the world", said Paul Daley, the founder of food supplier Chef's Garden.
The whole supply chain [in Hong Kong] has much higher costs to it
Daily deliveries to shops that did not have storage space and the peculiarities of local labelling laws all added to costs, Daley said. In some instances, suppliers needed to laboriously cross out banned phrases on product packaging, like "low fat", with a marker pen.