MILK PRICES FALL
By Leiselle Maraj and Sean Douglas Friday, August 14 2009
Already told they have to face tough economic times, consumers got some good news yesterday as the prices of powdered milk took a big drop, going down by as much as 20 percent.
Distributors of popular brands Kerrygold and Dairy Dairy issued new price lists to supermarkets on Tuesday because of a reduction in their retail prices.
However, while Dairy Dairy retail prices were lowered almost instantly, Kerrygold prices will be reduced within a few days, according to supermarkets in Port-of-Spain.
Vemco Ltd announced at the end of July that they intended to drop the prices of the Kerrygold brand, which they distribute, by mid-August. The company at that time said it was possible to reduce prices since they expected a new shipment of the powdered milk at a reduced cost.
In an advertisement today, Dairy Distributors Ltd details the price reductions for the Dairy Dairy brand, which range from a $1.50 difference in the smallest pack of full cream powdered milk to $19 less for an 1,800 gramme pack.
For instance, a 130 gramme pack will now cost $6.99, down from $8.49, while an 1,800 gramme pack which previously cost $93.99 will today retail for $74.99.
The prices for Dairy Dairy skimmed and low fat powdered milks have also been reduced with a 400 gramme pack costing $21.99, down from $26.99 and an 800 gramme pack is now $40.99, down from $51.99.
Supermarket managers in Port-of-Spain said the price reductions for the products of Dairy Distributors took immediate effect even though they still carried old stock because the company paid them a rebate for their purchases at the old prices.
Vemco Ltd is also expected to pay a rebate to supermarkets for old stock to be sold at the new lower prices. According to the new price lists, Vemco’s prices for Kerrygold, are the same as Dairy Distributors’ for its products except that Kerrygold’s small sized pack is 140 grammes which will now cost $6.99.
Consumer Affairs Minister Peter Taylor yesterday said that a fortnight after his call for cheaper milk, at least three local distributors (plus supermarkets) cut the prices of milk by about 20 percent.
“Today we have had very significant indications that this call has been heeded...That’s the good tidings I bring,” he told yesterday’s post-Cabinet news conference at the Diplomatic Centre, St Ann’s.
In addition, to Dairy Distributors and Vemco, Taylor also named the Happi brand, which will also enjoy a price cut.
Taylor said his staff had collected prices from nine supermarkets based in Port-of-Spain which reflected this recent price-cut.
“The Government remains committed to the fight, the crusade, for savings to be passed on to consumers,” he said, as he recalled having fruitful discussions on prices with Trinidad and Tobago Manufacturers Association head, Greg Laughlin.