The Debate:- Bread & Milk Prices

In the last week there have been more articles on Bread Pricing and Milk Pricing than has been in the last 12 months. Milk retailing below cost, Bread retailing at cost, all through Coles & Woolworths. What is the effect of this. Initially the consumer appears to be getting a good deal, however  had you looked closely at other increases in the supermarket that they are applying to make up for the losses on bread & milk, they have a habit of widely advertising these decreases in prices and at the same time sneaking up prices in other areas, it has been mentioned that fruit & veggies have jumped but I tend to believe this has to do with reduced supplies considering the flood situation during January & February across the eastern states, but look closer at the other items you buy especially the more popular lines, you buy 1 carton of milk but 2 baked beans or kg ham, I am of the opinion they have worked it out and they are not losing any money in doing their discounting.