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Food & drink

Cadburys shrinks chocolate bag size as 'shrinkflation' bites

Cadburys has reduced the size of one of its chocolate products by almost a quarter while keeping the supermarket prices the same.

‘Big Share’ bags of Dairy Milk buttons have been slimmed down to 184.8g from 240g, a 23% reduction, while Asda and Tesco have kept prices at £2.

Morrisons is also selling the chocolate treats for £2, although it previously charged £3.50, according to data from Assosia which was quoted on the website The Grocer.

A spokesperson for Mondelez (NASDAQ:MDLZ), Cadbury’s parent company, said it has tried to absorb costs where possible but has been forced to reduce the weight of the bags to remain competitive.

Shelf prices in supermarkets are often set by the retailers themselves, although manufacturers often recommend a retail price.

The Birmingham-based chocolate maker isn’t the only company to resort to ‘shrinkflation’ because of increased costs in ingredients and energy.

Cracker manufacturer Jacobs shrunk the packets of Mini Cheddars and made them less cheesy in December, according to the Telegraph.

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