Supermarket giants will promote fresh produce

FRESH produce will take centre stage in Australian supermarkets’ fight for market dominance, according to UBS bank.

The bank’s survey of more than 1100 Australian grocery shoppers found that freshness is the key battleground in the Australian grocery market, as retailers move away from a focus on low prices.

James Whiteside, chief executive of the peak industry group for vegetable growers, AusVeg, said he was pleased to hear a wider range of fresh produce was attracting shoppers.

“If low prices aren’t seen as a differentiator between retailers any more, and the major supermarkets are continuing to invest in the quality and width of their fresh produce ranges, we’d expect that this will lessen the downward pressures on farm gate prices,” he said.