A round-up of supermarket news and gossip
Widely acclaimed as a supermarket innovator, Sir Ken Morrison called time this week on a 55-year career spent transforming his father’s market stall into a £13bn supermarket chain. When Sir Ken took on his father’s business, it was turning over £50,000 a year. Marc Bolland, the CE charged with maintaining growth outlined the company’s intention to open eight stores in 2008 and extend 19 by adding a total of 100,000ft2 of selling space.

Tesco is creating 500 jobs by doubling the number of in-store opticians in its stores to over 140 in the next year.

Supermarkets are to face public shaming and huge fines if they use their size to force down prices paid to their suppliers. The Competition Commission will recommend the appointment of a statutory regulator to judge pricing disputes between retailers and farmers, dairy companies, abattoirs, food processors and packers. However, supermarkets have threatened to pass the cost of the new controls on to customers at a time when the cost of living is rising.

Marks and Spencer’s ready-made curries may soon grace India’s kitchens, after the British retailer held talks with Reliance Industries about selling its food range on the subcontinent.

The planned £2bn sale of Somerfield could be dropped after only one bid had been tabled by the end of the deadline set for bids. It is understood the Co-op was the sole retailer to table a full proposal for the business part owned by Robert Tchenguiz. Asda has yet to make an offer and is reported to only be interested in larger sites within the Somerfield 955-store portfolio.

Asda aims to overtake M&S and become Britain’s biggest clothing retailer by 2011. At present it has 8% market share. Woolworths wants to “buddy up” with other retailers at 80 of its stores to save money and boost profits at the beleaguered business. Partnerships would be sought with rivals as the CE looks to make the best use of Woolworths’ vast property portfolio. Somerfield is being lined up to operate a concession for its food range.

A survey for The Times conducted by Populus, reveals shoppers would rather see throw- away plastic bags scrapped altogether than pay any charge at all, however small. The survey also reveals shoppers want supermarkets to tackle all packaging waste rather than focus squarely on carrier bags. Nearly 70% said they wanted grocers to commit to removing all packaging on all fruit and vegetables. On a scale of one to five the Co-op came out top at 3.49 and Somerfield bottom at 2.72 on the issues of addressing social and environmental issues.

The square mile continues to oppose Sir Stuart Rose’s promotion at M&S.

It is speculated that Tesco has shelved plans to sell clothing on line. Five months after putting nearly 200 lines on its Tesco Direct web-site, the group said that it would be taking time out to “improve the offer”.

GEMINI