The Sunday Telegraph reports on an investigation by the Government's Competition Commission into relationships between Tesco and Asda and their suppliers. The paper reports that.
"Threatening and abusive emails from Britain's biggest supermarkets, bullying farmers and food suppliers into cutting prices, have been uncovered by investigators... the messages were allegedly sent by Tesco and Asda, warning suppliers to reduce the price at which they sell their food to the retailers - or face being axed."
Both supermarkets have now been ordered to hand over emails from June and July this year - the period before the supermarkets started their latest price war.
Stephen Alambritis, of the Federation of Small Businesses, told the paper,
"We believe that this kind of intimidation by the big supermarkets is widespread and are glad that the Competition Commission seems to have unearthed evidence of this as smaller suppliers are so often reluctant to speak out."
Please remember this story when you next shop - and the impact your choice of shop has on small businesses and small food suppliers!
UPDATE: An article in the Daily Mail gives more insight into the effect of reduced competition on suppliers to supermarkets.
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