M. Leser Stops Supplying Eggs to Rami Levy Stores from August End

M. Leser, one of Israel's major egg suppliers, has informed the Rami Levy supermarket chain that it will cease supplying eggs to all its branches starting at the end of August. This decision follows a commercial dispute between the two parties. Despite this, Rami Levy stated the move was mutually understood and that the chain will continue sourcing eggs from another existing supplier, H.H. Layers, based in northern Israel.

Egg prices in Israel are regulated, with a recent 1% increase in November after two years of stable prices. A dozen medium-sized eggs retail at 13.13 shekels to consumers and 9.84 shekels to retailers, while large eggs cost 14.24 shekels to consumers and 10.64 shekels to retailers. Retailers are prohibited from raising prices above the regulated level but may sell below it, a practice Rami Levy employs by offering eggs slightly cheaper than the official prices, resulting in consumer savings of less than one percent.

M. Leser is a significant player in the egg market, supplying all major supermarket chains alongside competitors such as Gliksman, Ramot HaShavim, Aviv Eggs, and Min HaTeva Be'erotayim. The company did not provide a comment regarding the supply cessation.

This development highlights ongoing tensions in Israel's food supply chains and the competitive dynamics among egg suppliers and retailers.