
Sticker Shock Hits Israel: Supermarkets Begin Raising Dairy Prices Beyond Manufacturer Hikes
Israeli consumers are beginning to feel a new wave of price hikes on basic dairy products, as supermarket chains across the country raise prices on milk, butter, cheese, and other staples — in some cases by even more than the increases announced by the dairy manufacturers themselves.
Following Shavuos, retail chains started passing the higher costs directly onto shoppers after regulated dairy products already went up in price and new increases from major producers including Tnuva, Tara, Strauss Group, and Gad Dairies began taking effect.
According to a report published by Ynet, Tnuva had announced before Yom Tov that it would increase prices on several products, although some retail chains initially resisted approving the hikes. Now, however, most major chains have already adjusted prices upward on at least some items — and in certain cases consumers are paying increases significantly steeper than those announced by the dairy companies.
Products already affected include white cheese spreads, butter, and shelf-stable milk.
A review found that Tnuva’s 3% and 9% white cheese products in 250-gram containers rose in price at several chains despite Tnuva itself announcing only about a 1.05% increase. In practice, some stores charged consumers far more.
At the חילול שבת AM:PM chain, the price of white cheese reportedly climbed from 5.80 shekels to 6.40 shekels — an increase of roughly 10%. At Wolt Market, the same item rose from 6.20 shekels to 6.50 shekels, nearly a 5% increase. The Victory chain recorded a smaller rise, moving from 6.30 shekels to 6.40 shekels.
Tnuva butter has also become more expensive in many stores. At Victory, the price of a 200-gram package rose from 9.90 shekels to 10.50 shekels — about a 6% jump — even though Tnuva’s own increase stood at 4.8%.
Other chains including Machsanei Hashuk and Super Bareket also raised butter prices, while Keshet Teamim increased the same butter product from 10.50 shekels to 10.90 shekels.
Several chains have additionally started raising prices on shelf-stable milk. Yohananof reportedly increased the price of Tnuva 3% shelf-stable milk from 8.40 shekels to 8.50 shekels, while the online platform of Rami Levy raised the product from 8.50 shekels to 8.60 shekels, although physical branches had not yet implemented the change.
According to Ynet, several chains — including Shufersal, Osher Ad, Salah Dabbah, and most Rami Levy branches — have not yet raised prices broadly. Still, retail officials reportedly acknowledged that additional increases are likely unavoidable and said negotiations with dairy suppliers are still ongoing.
Products from Tara have also begun climbing in price at certain chains, although many stores have not yet passed the increases on to consumers.
At the same time, upcoming price hikes from Strauss and Gad Dairies are scheduled to officially take effect on June 1, though some retailers have already implemented increases ahead of schedule.
At Wolt Market, Strauss Symphony 5% olive cheese rose from 11.90 shekels to 12.90 shekels — an increase of 8.4%. Gad Dairies’ refined Bulgarian cheese also increased there from 29.70 shekels to 30.90 shekels.
The Netiv Hachesed chain also raised prices on a variety of Tara and Strauss products, including Muller yogurt drinks, Tov Taam cheese, and Tara 5% cottage cheese. Strauss Greek yogurt reportedly climbed there by more than 8% as well.
The new increases follow months of announcements by dairy manufacturers regarding updated pricing on both regulated and non-regulated products. Consumers across Israel are now beginning to see the impact directly on store shelves, including on everyday household staples used by nearly every family.
{Matzav.com}