SMEs pick up short end of supermarket stick

Consumers buy products at a supermarket (Photo VNA) Hanoi (VNA) – Small and medium sized firms are being crushedand elbowed out in the increasingly fierce competition to become a supermarketsupplier.This has sparked accusations of unfair purchase policies and the counterresponse that supermarkets make rational buying decisions and are willing tohelp producers and distributors.With supermarkets occupying an increasing share of the retail market, supplyingconsumer goods to this channel has become more important.Ngo Duc Sinh, Chairman of Hoa Binh province’s Kim Boi Agriculture and Forestry ProductsJSC, told the Public Security News (Cong An Nhan Dan) newspaper,official information channel of the Ministry of Public Security, that thereseemed to be no uniformity or reliability in assessing goods and choosingsuppliers. Speaking at a networking event organised by the HCM City’s Department ofIndustry and Trade, Sinh said that, having his company’s products present inmost major supermarkets and convenience stores, he saw that the same productwas welcomed by one and rejected by another.However, Ho Quoc Nguyen, head of Big C Vietnam’s Public Relations, said asquoted by the paper that supermarkets understand the relationship betweenproducers and distributors.Even if some small suppliers complain about discrimination, he said he believedthe distribution system has done the right job, and was willing to listen andsolve firms’ difficulties.Nguyen said that his company gave equal treatment to suppliers of all sizes,asking that they meet two basic conditions of clear product origin and certifiedquality.If the products have not been periodically tested or do not meet hygiene andsafety standards, supermarkets have no choice but to reject them, he added.Nguyen Huynh Trang, deputy…

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