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Musgrave-Unilever dispute hits ice cream supplies

RTÉ News has seen a list of products that are still subject to the dispute, which includes Ben and Jerry's ice cream
RTÉ News has seen a list of products that are still subject to the dispute, which includes Ben and Jerry's ice cream

The stand-off between Ireland's largest grocery group Musgrave and Anglo-Dutch giant Unilever has affected ice cream, however, supplies of other products have resumed. 

The development means Unilever's Lyons Tea, Hellmann's Mayonnaise and Marmite are now being supplied in Centra and SuperValu outlets.

RTÉ News has seen a list of products that are still subject to the dispute.

These include Ben & Jerry’s, Carte D'Or, Magnum, Cornetto, and HB Viennetta.

SuperValu and Centra retailers have been told not to order these products.

In a statement Musgrave said: "Our negotiations with Unilever are continuing. Supply of certain products, where there is no proposed cost price increase, has resumed."

The disagreement with Unilever, which emerged nearly two weeks ago, means a large number of its products may not be stocked in Centra and SuperValu stores here.

The UK-based group was reportedly seeking significant price increases ranging from 10% to 19%, according to documentation seen by RTÉ News. 

Musgrave, the group which owns Centra and SuperValu, baulked at the price increases, with Unilever initially refusing to honour orders from Musgrave. 

It then emerged Unilever was offering a currency exchange mechanism to Irish retailers to compensate them for any price rise, which it had requested.

A spokesperson for Unilever previosuly said the mechanism would offset the price rise.

The company said it operates a currency exchange mechanism to account for fluctuations in the euro/sterling exchange rate.

Commenting on the dispute, Unilever Ireland said: "Our commercial discussions with the Musgrave Group are continuing and remain confidential.

"Unilever's currency exchange review process for Irish retailers means there has been no overall cost price increase on the portfolio of products sold by Unilever Ireland."