Dublin, Jan 30, 2026, 21:32 GMT
Dublin, Jan 30, 2026, 21:32 GMT
- Musgrave dropped Kerrygold butter prices by as much as 9% at SuperValu and Centra, with Tesco promptly following suit.
- The 454g pack slipped to €4.99 from €5.49, and certain 227g packs slid to €2.99 from €3.29.
- These changes come as Irish shoppers continue to deal with high grocery inflation, even though headline price growth has recently slowed.
SuperValu and Centra, both owned by Musgrave, slashed prices on Kerrygold butter on Friday, with Tesco swiftly matching the move. Ireland’s top grocers are stepping up the battle over essential items. The price for a 454g pack of Kerrygold fell to €4.99 from €5.49, while smaller packs dropped to €2.99 from €3.29. This comes despite official figures showing the national average price of butter increased by 54 cents per pound over the year to December. (Thejournal)
The timing is crucial as food inflation continues to outpace many household incomes, with butter standing out as a clear indicator of rising grocery costs. Ireland’s EU-harmonised inflation rate (HICP) hit 2.6% year-on-year in January, while food prices climbed 3.9% over the past year, according to the Central Statistics Office. “Food prices … increased by 3.9% in the last 12 months,” said Anthony Dawson, statistician in the CSO Prices Division. (Agriland)
The Kerrygold cuts have fueled a price war that’s spilled over from store-brand butter into name-brand products. Retailers are slashing prices on staples like milk and bread to lure customers, while discount chains and big supermarkets keep a close eye on each other’s moves.
Musgrave said its price cuts on Kerrygold will save shoppers 30 to 50 cents, bringing a pound of Kerrygold down to €4.99. The Cork-based company operates 615 Centra and 258 SuperValu stores across Ireland. It posted a turnover of €5.2 billion in 2024, with a pretax profit of €134.5 million, according to the Irish Times. (The Irish Times)
Tesco announced it is slashing 50 cents from the price of a pound of Kerrygold butter, dropping it from €5.49 to €4.99. The retailer said this is part of a broader effort to cut costs on “household staples,” following earlier price cuts on its own-brand butter products. (Agriland)
Own-label, also known as private label, refers to the supermarket’s own brand instead of a manufacturer’s. Usually cheaper, it’s often the first tool chains pull in price battles since they control both promotions and shelf space.
Behind the retail shifts lies a supply-side angle. The Irish Farmers Journal noted that spot butter prices — the immediate wholesale benchmark — dropped to their lowest since 2021 this week, sliding €115 per tonne to €3,835. (Farmers Journal)
Lower shelf prices don’t necessarily translate to cheaper bills for shoppers. The CSO’s grocery basket remains pricier than it was a year ago in several categories, and drops in a few key items can be wiped out by rises in others.
A major question remains: how long will retailers maintain the reduced Kerrygold prices if wholesale dairy markets rebound or if suppliers resist? A prolonged price war risks squeezing margins further, pushing strain onto processors and farmers—especially if these promotional discounts settle into the standard going forward.
So far, big grocers seem ready to keep duking it out over staples, with branded butter now firmly targeted in the battle.
