Food fight

31 July 2003

The UK supermarket chain is losing market share and has been leapfrogged by cheaper rival Asda. It has been trying to shore up its position by buying things. But the regulators are sticking a spanner in the works.

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J Sainsbury lost its position as the number two UK supermarket to rival Asda, according to figures released by Taylor Nelson Sofres. The till roll data showed that for the four weeks ending July 20, Asda's market share climbed to 17% from 16.1% the year before. Meanwhile, Sainsbury's slipped to 16.2% from 17.1% the year before. TNS measures sales of nonfood items as well as groceries. Sainsbury said it was still ahead of Asda on grocery sales.

Separately, Sainsbury's application for permission to buy 171 Somerfield stores was referred to the Competition Commission.

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