Today’s story of a second supermarket closure is reason for concern. Following a recent report on Fresh Market at Madame Estate ceasing operations per the end of August, it now appears the same owners are shutting down Afoo Extra in Philipsburg too.
The fact that the latter is one of the island’s oldest food stores only makes the bad news that much more dramatic. It could also be an indication of troubling economic times, despite Government announcing more tax revenues than budgeted.
In any case hundreds are losing their jobs, many of whom may soon require financial assistance. Unemployment figures were thankfully down in the most recent statistics released, but that is now likely to change.
Minister of Health, Social Affairs and Labour Emil Lee said they are on top of it to make sure the workers receive all they are due. Nevertheless, it’s a major blow to the community.
Part of the reason might have to do with competition. When Super-U opened on the French side offering on average considerably cheaper goods it no doubt had a negative impact on similar businesses across the border.
A large supermarket chain even reacted by bringing in a new product line from France of its own to also lower prices. That move seems to have been successful, but others apparently didn’t do so well.
So, as sad as this latest development is, these kinds of things can always happen in an open market characterised by free trade. Ultimately such upheavals, while obviously undesirable in the short term, should benefit the consumer.
