Russian PM’s supermarket visit leads to discounts of up to 80 per cent

Posted by Daniel Palmer on 30th June 2009

If Kevin Rudd still believes in his comments prior to the election that food prices are too high in Australia, then perhaps he should be considering a visit to Woolworths or Coles if the example of Russian Prime Minister Vladimir Putin is any guide.

As Australian Food News reported on last week, Mr Putin paid a surprise visit to a supermarket outlet under the banner of one of Russia’s leading retailers – X5. He questioned the price of sausages and pork and received assurances that the price of pork would be lowered the following day.

And X5 Retail Group has further responded with a “grand sale” that will see prices cut by up to 80 per cent, although they maintain the sale is not a result of Putin’s visit.

“The Prime Minister paid particular attention to pricing on socially important goods, underscoring the significance of ensuring product affordability for Russian population,” Russia’s largest retailer by sales said in a statement. “X5 is very supportive of this approach and has been aggressively pursuing price leadership in the past years. Its “close-to-the-customer” policy provides the most attractive prices in the market across all three formats, and Perekrestok is widely known for offering the best value for money among supermarkets.”

“For example, 350 socially important items at Perekrestok are currently sold with a mark-up on our purchase price of below 5%, out of which 150 items are sold at the purchase price. Additionally, we are launching a new program to offer special prices on 10 items in fresh meat category.”

At the start of next month the chain will start their summer sale with price cuts of up to 80 per cent on 3,000 items.