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Posted: 2015-12-01 04:35:07

timtams-1How do you eat your Tim Tams? “Not at all,” is the answer if you want the Adriano Zumbo varieties and you shop at Coles.

Fans of the upmarket versions of the Aussie shopping basket stalwart will have to go elsewhere for their sugar hit after the supermarket giant refused to meet a price hike by biscuit manufacturer Arnott’s.

Coles, which made a profit of $2.4 billion in 2014/15, argues that it would have to pass on a near 10 per cent price rise demanded by Arnott’s US owner Campbell Soup Company – and that is isn’t prepared to do so.

But with even the tiniest piece of ground valuable in the supermarket war, that may hand an edge to its sector rivals.

Price has been the biggest weapon in the battle for supremacy but choice plays a part too.

Woolies is still selling the salted caramel, coconut cream and choc raspberry Tim Tams spruiked by celebrity pattissier Adriano Zumbo – all on a two-week special it insists has nothing to do with the standoff between Arnott’s and its archrival.

Coles said it has been given no explanation for the price rises by Arnott’s, which stopped fulfilling orders on a total 54 biscuit products in October.

After two weeks, Coles caved on 44 core products viewed as shopping basket staples – including standard Tim Tams – but has decided to pass on the remaining 10 biscuit lines.

“Coles has made a commitment to bring down the cost of shopping for our customers, and we have been doing that every year for the past six years,” a supermarket spokesperson said.

“So when a major international manufacturer decides they will unilaterally force through a price hike without justification, we will resist that.

“Our average family shopper spends around $150 per week on food and groceries, and they don’t have the spare cash laying around to give to Campbells-Arnotts every time they decide to put their prices up.”

Coles said the rises for which Arnott’s first asked in July were between 2.2 and 9.9 per cent. It contends that there is nothing in supply costs to justify this and that the decline in the strength of the Australian dollar was not cited as a reason.

Arnott’s did not return AAP’s call for comment.

In the meantime, Woolworths has discounted the $3.65 Adriano Zumbo varieties to $2.50 for two weeks.

The products are regularly on special and sold for the same price last year.

“Woolworths doesn’t discuss negotiations with our suppliers,” a Woolworths spokesperson said.

“But we know that Aussies love a Tim Tam.”

AAP

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