Supermarkets 'Taking Mickey' on Olive Oil Pricing, Claims Industry Leader
A prominent olive oil executive has launched a scathing attack on major supermarkets, accusing them of "taking the mickey" by failing to pass recent price reductions on to consumers. Walter Zanre, the boss of leading olive oil producer Filippo Berio, made the comments in an interview with Sky News, expressing frustration that despite his company lowering wholesale prices twice last year, retail prices have not reflected these savings.
Retail Trade Body Defends Supermarket Practices
The British Retail Consortium (BRC) has strongly defended retailers against the price-gouging allegations. Andrew Opie, the trade body's director of food and sustainability, stated that retailers are "working hard" to pass savings to customers wherever possible. He emphasized that supermarkets operate on very tight margins in a market driven by savvy consumers, a position confirmed by the Competition and Markets Authority (CMA).
"We can't dictate retail prices," Zanre told Sky News. "For me, it's immensely frustrating that they've taken the opportunity to expand their margins - whereas in reality, we should be offering better value. It's almost like taking the mickey, and I think what's causing it is that even the supermarket was surprised at how resilient the shopper was at high prices, so the view is they don't need to give it all away for nothing."
Dramatic Price Swings in Olive Oil Market
Olive oil prices have experienced significant volatility in recent years. A 500ml bottle of Filippo Berio that cost approximately £3.75 in 2022 soared to around £10.50 at the beginning of 2025 before falling to about £7.50 currently. This dramatic increase was primarily driven by severe droughts and heatwaves in major olive-growing regions including Italy, Greece, and Spain.
According to the Office for National Statistics, olive oil price inflation has swung dramatically from 11.2 percent to minus 10.4 percent over the past year - a shift of more than 20 percentage points. This represents one of the most significant price reversals in the grocery sector.
Supermarkets Face Multiple Pressures
Supermarket executives have warned they are facing intense pressures from multiple directions. The ongoing conflict in Iran has created additional supply chain costs, while domestic tax burdens continue to squeeze margins. Industry leaders have called on the government to provide support to help avoid further price increases across the grocery sector.
Opie added context to the pricing discussion, noting: "Olive oil, like many everyday products, is something shoppers can compare across brands and retailers to take advantage of promotions or switch to alternatives that suit their budget." This statement highlights the competitive nature of the retail environment where consumers have multiple options for purchasing staple goods.
The dispute between olive oil producers and retailers comes at a sensitive time for the grocery industry, with consumers increasingly price-conscious amid broader economic challenges. While producers argue for faster pass-through of wholesale price reductions, retailers point to their own cost pressures and the competitive dynamics of the market.
