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Germany: Customers win civil society battle against supermarket chain
The bio chain Basic has announced the pullback of the Schwarz discount group (Lidl) from its action sharing, as a result of a campaign supporting consumer opinion, by Elena Pizzorni
di Staff
The bio chain Basic has announced the pullback of the Schwarz discount group (Lidl) from its action sharing, as a result of a campaign supporting consumer opinion.
Over the last year the Lidl group was able to acquire up to 23% of Basic shares, but according to a press release published by Basic AG ? the psychological effect caused by action sharing has been underestimated?.
For Attac, a German consumer association, this represents the great success of the campaign ?Basic without Lidl?. This campaign coordinated by Attac Munich together with the Munich Socialforum and other organisations has been organised to support the numerous customers and consumers protesting and boycotting against Lidel & Schwarz participation to the Basic biomarkt concern. As a matter of fact many activists were seriously concerned about the increase of dumping competition in biological retails (cutthroat competition). The call of the campaign was: ?The quantity versus quality discount policy is not compatible with a sustainable and ecological fair trade and goes against the interest of biological growers, retails workers and, of course, of the bio-shops customers?.
As a result of the strong public pressure and the pullout of important suppliers, Basic decided at the beginning of September not to sell more that 23% of company sharing to the Lidl & Schwarz group. Upon this the Basic board of management broke up with the CFO Johann Priemeier responsible of Basic expansion policy and of the Lidl & Schwarz participation, giving a strong reorientation signal. According to a Basic employee ? for the future expansion it is important to keep an eye on a ?modern growth and not the ?turbo growth? as planned previously by the executive board. As a matter of fact, through the investment of the discount group the bio?group wanted to finance a wide spreading growth, which included the opening of roughly 50 new stores every year.
Now, thanks to the participation of all activists, critic consumers and of more than 2.000 signatures the goal of the campaign has been reached, even if the details on the Lidl pullout have not been announced jet. According to Luise Rauschmayer from the Munich Socialforum ?these are great news even if concrete information as for instance a timetable are still missing?.
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