Why Does LIDL Hesitate to Invest in Madeira?

Why Does LIDL Hesitate to Invest in Madeira?

LIDLs investment in Madeira has long been planned, yet nothing happened. Find out what´s going on!

Funchal Urges German Supermarket Chain to Start Delayed Projects

City Pushes for Action on Stalled Developments

The Funchal City Hall is calling on the German supermarket chain LIDL to begin construction on two long-approved projects that have been approved but delayed for months. These include Poço do Barral and another near the Poço da Rotunda.

While there is no progress or resolution regarding the Cruz Vermelha project, Cristina Pedra, mayor of Funchal, expressed frustration over the lack of progress, stating that the city has done its part and is ready for work to begin. “If they want to start today, they are welcome. The projects are approved,” Pedra said.

We have two approved projects, if they want to start today, they are welcome. There are no changes. They should ask whether they are still interested or not. On our side, the projects are approved. We are open to more investment in the city of Funchal.

Cristina Pedra, mayor of Funchal

Source: RTP Madeira

Latest News from 04.10.2024. This article is being updated.


Lidl Investment in Madeira Sparks Accusations Between JPP and Funchal City Council

The proposed investment by Lidl supermarkets in Madeira has triggered a heated exchange between the political party Juntos Pelo Povo (JPP) and the Funchal City Council. JPP claims that the council is blocking Lidl's entry into the region, while the municipality argues that two projects have been approved and two others require revisions. The council accuses JPP of populism and demagoguery.

JPP's Stance

JPP Secretary-General Élvio Sousa criticized the Funchal City Council, led by Miguel Albuquerque’s PSD, for allegedly imposing "constant political blockages" on Lidl's investments. He emphasized JPP's commitment to preventing these blockages, arguing that the party has been the sole advocate for increasing competition among supermarket chains to lower living costs for families.

Funchal City Council's Response

The council dismissed JPP's allegations, stating that the Lidl projects are progressing through normal procedures. They highlighted that two projects have been approved (Poço Barral and next to the Assicom Rotunda), while the remaining two, namely Largo Severiano Ferraz which needs adjustments for heritage preservation and traffic management and Rua Dr. Pita, which is not in accordance with the PDM, remain at stake. The council accused JPP of misleading the public for political gain.

The Funchal City Council further mentioned a positive relationship with Lidl, citing a statement from the company affirming support from local authorities and ongoing plans to adapt to economic conditions without political interference. The Funchal City Council thus reiterated its openness to projects that comply with legal standards and contribute to the city's economic dynamism.

From: Jornal Economico

Latest News from 28.06.2024. This article is being updated.


LIDL Madeira: Everything is Going According to Plan

LIDL emphasizes in a recent press statement that its decision to delay its involvement in Madeira is not politically motivated but is a voluntary strategic move based on the prevailing economic conditions. LIDL affirms that it has received full support from local authorities for its expansion endeavors on the island.

“We demarcate ourselves from the discussion held in the public space around the ongoing licensing procedures, a discussion to which we are unrelated, and which is in no way related to the ongoing reorganization.”

LIDL

The supermarket chain reiterates its keen interest in establishing operations in Madeira, emphasizing a commitment to providing "maximum quality at the best price." The company's reorganization of its expansion strategy aligns with its goal of adapting to the economic context while maintaining its core principles.

The press release from LIDL serves as a direct response to ongoing discussions and communications related to licensing procedures. Specifically, the statements address concerns raised by the JPP (Juntos pelo Povo) party and the City Council of Funchal regarding the expansion plans. LIDL again clarifies its position, asserting that it has all the necessary support from local authorities, and the company is actively working towards a successful expansion in Madeira.

JPP Accused Funchal City Council of Obstruction

Amidst the discussions, the JPP accuses the City Council of Funchal of obstructing LIDL's business activities. However, Pedro Calado of the PSD distances himself from this accusation and threatens to put this matter to court. LIDL's press release aims to provide clarity on the matter, dispelling any misconceptions surrounding the licensing procedures and the supermarket chain's expansion plans in Madeira.

“As has been demonstrated and proven with the JPP's inspection work, within the scope of the obstacles that the Funchal City Council has placed on the installation of the LIDL chain in Madeira, Pedro Calado failed two projects of that supermarket chain in Funchal

Élvio Sousa, JPP

From: Diário de Notícias Madeira

Latest News from 09.01.2024. This article is being updated.


News From 29.11.2023

Despite promises of a substantial investment and workforce training, recent developments suggest a standstill. Why is that? Things have gotten really quiet about LIDL coming to Madeira. Even though they said they'd spend a huge 100 million euros and trained lots of workers, there's no big news this year.

Now, the Liberal Initiative in Funchal is wondering why LIDL isn't moving further with opening a store on Madeira.

Why No LIDL in Funchal? IL Wants Clear Answers

IL points out that Funchal's city planners cited issues for rejecting LIDL near Largo da Cruz Vermelha. The party says the city claimed it's impossible to put a LIDL supermarket near Largo da Cruz Vermelha, blaming city rules and traffic.

IL asks for straight answers on what's stopping them. Despite plans for LIDL in Madeira this year, recent news says they're not interested. IL wants facts, not rumors, for the people in Funchal.

LIDL recently asserted that the company is undergoing a comprehensive global restructuring, thus taking the pressure from the government of Madeira. They explicitly claimed, their hold on investment had nothing to do with local politics.

LIDL maintains its commitment online

As of today, LIDL continues to uphold its commitment regarding its investment in Madeira on their website.

We are going to expand to the Autonomous Region of Madeira and we aim to boost the local economy and be closer to our customers on the island.

And to be able to offer the best service and support to our future Madeiran customers, we need the best people! We count on you!

However, the applications for the positions remain closed. LIDL refers to LinkedIN for news on that matter.

LIDL's Big Global Presence: What It Means for Madeira

IL talks about LIDL being Europe's biggest retail network and the sixth-largest globally. They say LIDL plans based on studies and controls its supply chain.

IL thinks this could change Madeira's transport scene, with private-label freighters possibly serving the island and beyond. It could mean a big shift for the island's logistics.

For 27 years, Lidl, a part of the German Schwarz group, has established its presence in Portugal. With over 8,200 employees and four regional directorates and warehouses.

See Dnoticias.pt, JM-Madeira.pt

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