Supermarkets Control 85% of German Market, Raising Prices for Farmers and Consumers

The Monopolies Commission has raised concerns about the concentration of power among major supermarket chains in Germany. With companies like Edeka, REWE, Aldi, and the Schwarz Group controlling approximately 85% of the market, competition has significantly weakened.

This dominance has resulted in higher profit margins for retailers, leaving farmers and consumers at a disadvantage. Critics, including Oxfam Germany, argue that the rising food prices burden both consumers and agricultural producers, who see little benefit from the increased costs.

In contrast, the German Retail Association contends that external factors like energy and labor costs are to blame. The Commission urges the Federal Cartel Office to enforce existing regulations more effectively to ensure fair competition and address the growing disparity between producer and consumer prices.