War forces small supermarkets to lower

margins

May 2026 Smaller and independent supermarkets say they are facing increased pressure to keep grocery prices stable as the cost of keeping shelves full continues to rise. Increased costs of fuel and fertiliser as a result of trade disruptions in the Middle East have impacted farmers and suppliers, who have passed hikes on to supermarkets. Drakes director, John-Paul Drake, said he had seen more extra charges from suppliers over the past month. “Suppliers have been looking at making sure their costs are covered,” he said. “They’ve been looking at all sorts of different ways to put a fuel tax, a surtax, a fuel levy, call it whatever you want. “We are doing everything that we can to make sure we hold down the pricing,” he said. Mr Drake said he wanted the government to be more transparent about fuel supplies to help better inform businesses and consumers. Master Grocers Australia Independent Businesses Australia director Lincoln Wymer said smaller supermarkets had been absorbing increased delivery fees from suppliers since fuel prices jumped weeks ago. “The cuts to the fuel excise that were made by the government recently helped us make the decision not to move the prices in the short term,” he said.

Greek Tribune Adelaide, South Australia