Tea and occasional drinkers danger paying greater costs for sugar

Tea and occasional drinkers danger paying greater costs for sugar because of the merger of two of the nation’s largest producers, regulators have warned.

Tate & Lyle proprietor T&L Sugars (TLS) introduced plans to purchase Whitworths late final 12 months.

But the Competition and Markets Authority (CMA) yesterday threatened to dam the deal over fears it would push up sugar costs. 

It stated TLS’s takeover of a part of cooperative conglomerate Tereos, which owns Whitworths, could ‘result in a considerable lessening of competitors’ and gave the companies 5 working days to supply an answer.

TLS refines and distributes sugar and comparable merchandise to supermarkets, wholesales, lodges and cafes within the UK.

Leaving a bitter style: The Competition and Markets Authority has threatened to dam the merger deal over fears it would push up sugar costs

The a part of Tereos it plans to purchase packages and distributes sugar to UK patrons. The CMA stated the one different competitor which provides packed sugar is British Sugar, a subsidiary of Associated British Foods, which additionally owns Primark.

Supermarkets might find yourself paying extra for sugar, which might improve costs on the cabinets for patrons, it stated.