Woolworths is taking significant steps to support Australian families amid rising living costs by cutting prices on nearly 400 popular grocery items.
Starting Wednesday, shoppers can enjoy lower prices both in-store and online on everyday essentials such as Four N Twenty pies, bread, tomato sauce, noodles, and nappies.
The price reductions, which average around 10%, could offer substantial savings for households.
According to Woolworths CEO Amanda Bardwell, a family spending $150 on groceries each week could save approximately $15 and importantly, this isn’t a short-term promotion.
“This is a long-term commitment to providing genuine, dependable value for our customers,” Bardwell said.
The reduced prices are guaranteed to last until at least 2026, with plans to expand the discounted product range in the coming months.
Key staples in Australian households are becoming more budget-friendly at Woolies with Long-grain rice becoming 8-12% cheaper, pasta varieties are down by 10-15%, and cooking oils have dropped 7-9%. Plus, enjoy savings of 12-18% on canned tomatoes and beans, and 6-10% on breakfast cereals.
This is big news considering the sharp price hikes we’ve seen over the past 18 months—pasta alone jumped 24% between 2023 and 2025, according to ABARES data.
Fresh fruits and vegetables are also getting price cuts with seasonal apples down 15%, carrots and potatoes dropping by 12%, bananas 10% cheaper, tomatoes have been slashed by 18%, and lettuce varieties are down by a whopping 15-20%.
Nutritionist and public health advocate Dr. Rosemary Stanton highlights why this matters: “Making fresh produce more affordable is critical for public health outcomes. When budgets are tight, fresh fruits and veggies are often the first to go.”
But it doesn’t stop at food. Everyday household essentials are also seeing price relief.
Laundry detergents dropping 8-12%, dishwashing products by 10%, toilet paper and other paper products will be 7-15% cheaper, and personal care items are reducing by 5-12%.
Considering the average Australian family spends around $60 a week on these essentials, according to the ABS Household Expenditure Survey, these savings can truly make a difference.
While this news is a win for consumers, it has caused ripples in the financial markets. Woolworths shares fell by 49 cents (1.47%) to $32.77 on Monday, while competitor Coles experienced a smaller decline of 21 cents (0.93%) to $22.27.
Investors are preparing for intensified competition and potentially slimmer profit margins if Coles follows suit with similar price cuts, we have our small violins at the ready for them.
But the move comes as supermarkets face growing scrutiny to support households during tough economic times. A recent Australian Competition and Consumer Commission (ACCC) report revealed that major supermarket chains had increased profit margins even as families struggled with soaring costs.
Woolworths’ ambitious pricing initiative has the potential to transform the grocery industry. By setting a new standard, it may prompt other supermarkets to follow suit, leading to significant and potentially unexpected changes for consumers and the sector as a whole.
