CUSTOMERS face bigger shopping bills as the summer heatwave takes its toll on global commodity prices. Pressure is increasing on supermarkets to push up food prices in response to growing supplier costs.

Local retailers are trying to avoid passing on price hikes but have acknowledged that some expenses will be passed on to the consumer.

‘Obviously, many of the imported product lines, especially fresh produce and meats, have seen some rises,’ said Co-Op retail controller Jim Hopley.

‘But despite sustained pressure driving up prices in some areas, CICS is working hard to maintain competition, increase our promotional activity and reduce prices where we can.’

A survey by the British Retail Consortium found that UK

annual food price inflation had risen for the third successive month.

The hikes have been blamed on poor crop production due to high summer temperatures, an increase in global commodity prices and expensive fuel.

UK retailers placed the biggest mark-up on vegetables, meat and dairy products.

Mr Hopley said most vegetables and dairy products would be unaffected as they were locally produced, but believed pressure on the price of bread could increase in the coming months.

He cited rising fuel costs and weather as the main drivers behind the changes, but believed it would even out in due course.

‘We do anticipate future savings if the oil price stabilises and sterling remains strong against the American dollar,’ he said.

Alliance chairman Chris Fish thought recent hikes in the oil price would be absorbed by the economy within the next six months.

But he said retailers were currently feeling the bite of increasing costs.

‘There’s real inflationary pressure here,’ said Mr Fish.

‘We are currently trying to find different suppliers in an attempt to keep prices down, but it’s a very difficult market at the moment.’

He could not identify increases in any one particular sector.

‘I can’t see anything that stands out.

‘As far as meat goes, there is an upward pressure in that British beef is now on the market, so demand has increased, but we’re still managing to get reasonable prices for meat.’

He added that a lot of the imported Continental produce was subject to the same economic conditions, making it harder to source cheaper suppliers.

He thought local freight companies were doing well to help keep costs down.

Creasey’s managing director Tony Creasey said the Marks & Spencer franchise had not been significantly affected by price increases.

He thought it was common for prices to fluctuate throughout the season and said that while climatic change could cause hikes in some areas, it could also lead to cost cuts elsewhere.

‘It’s just part of life’s rich tapestry,’ he said.

‘Prices will come down in other areas.

‘There are some products in the UK that you never would have considered planting a few years ago, while others have far longer seasons – they tend to balance each other out.’

He believed increases in fuel prices would inevitably have an impact on customers.

‘Oil is the new water in a sense – it is present in every part of our lives, so hikes will work their way through to consumer prices in supermarkets.’