Woolworths hits back at Goodman over supply spat

Woolworths has fired a shot back at Goodman Fielder, after the bread company flagged its intention in abandoning daily delivery of fresh bread to supermarkets in an effort to cut costs.

'Moves by any of our suppliers that changes the freshness of a product like bread would need to be fully discussed with us,' spokesman Benedict Brook said.

 'Ultimately it will be the customer who decides what goes on our shelves.'

There was a strong reaction to a report in BusinessDay this week that Goodman Fielder was considering cutting supply chain costs by reducing bread deliveries, perhaps to every second or third day.

Intense discounting and increased reliance on private label products by the supermarket duopoly Coles and Woolworths - including the introduction of $1 loaves of bread last July - has increased pressure on product manufacturers and suppliers.

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