Loblaw, Frito-Lay resolve high-profile pricing dispute that pulled chips from shelves

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Loblaw, Frito-Lay resolve high-profile pricing dispute that pulled chips from shelves
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A high-profile pricing dispute that saw one of Canada's largest food makers stop shipments of chips and snacks to the country's largest grocer has been resolved.

Loblaw Companies Ltd. said brands like Cheetos, Doritos and Ruffles will be back on store shelves by Easter weekend after it resolved the matter with Frito-Lay Canada.

She declined to comment on specific vendor negotiations but said the issue was about providing value to customers. “We are committed to our Canadian manufacturing and operations and look forward to resuming distribution of our products from coast to coast in the coming days,” she said in an email Monday.

In February, Frito-Lay halted shipments to Loblaw stores after the grocer allegedly refused a price increase brought forward by the food manufacturer.Joel Gregoire, associate director of Canada Food and Drink with market research company Mintel, said the dispute underscores the challenges grocers and suppliers face in a high-inflation environment.

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