David Jones may join food fight

MOVE over, Woolworths — there’s a new Woolworths in town. The supermarket wars are about to get even hotter, but will prices go down down?

David Jones may consider stand-alone food stores similar to Thomas Dux.

SOUTH Africa's Woolworths Holdings, which last year bought department store retailer David Jones, may consider expanding its operations with stand-alone food stores, The Australian Financial Review reports.

The retailer has appointed a general manager of foods, Pieter de Wet, to overhaul the David Jones' food business. He is expected to arrive in Australia later this year and will report to Woolworths chief executive Ian Moir rather than the department store chief Iain Nairn.

Insiders say the job may involve not only overhauling the food halls, adding cafes, restaurants and coffee shops, but also investigating stand-alone stores similar to Thomas Dux or Jones the Grocer outlets, according to the AFR.

In South Africa, Woolworths generates almost 30 per cent of earnings from food and is one of the nation's fast-growing food retailers, the report says.

In the past the company has played down speculation that it plans to enter Australia's $88 billion food and grocery market.

David Jones may consider stand-alone food stores similar to Thomas Dux.