Mark Price, MD, Waitrose

UK supermarket operator Waitrose has pledged to match rivalAsda’s price cuts to bananas without passing the costs on to itsFairtrade-certified suppliers in the Windward Islands.

Speaking at the Fairtrade Foundation’s annual commercialconference, Waitrose managing director Mark Price told Fruitnet that theretailer would bear the burden of equalling Asda’s pricing, but he confirmedthat Waitrose’s ethical suppliers would not suffer as a result.

“We will sustain this for as long as it takes – we don’thave an option,” he said.

However, Mr Price was also critical of the effects thatAsda’s pricing strategy could have on its banana suppliers.

“What’s the point of selling bananas at a levelsignificantly lower than cost – the margins that supermarkets work on areinsufficient to sustain this kind of activity,” he claimed.

“My real concern is that it can’t be at the expense of theproducers. It would not be appropriate for us to go back tour suppliers andask them to bear the cost of these cuts.”

Mr Price said that awareness of the benefits ofFairtrade-certified production was increasing among consumers, arguing that themarket was being driven by a belief among shoppers that they were “doing theright thing” by buying ethically-sourced goods.

“The power of the internet and television means that we havefar more educated consumers and people are saying that paying a pittance tofarmers in the Philippines is not acceptable,” he said.