New discount chain eyes Hungarian market, challenging Lidl and Aldi

The Hungarian grocery market, already a battleground for discounters Lidl and Aldi, may soon face a formidable new competitor. Reports suggest that Biedronka, Poland's largest discount supermarket chain, is eyeing a potential expansion into Hungary.

Biedronka, operated by the Portuguese company Jerónimo Martins, boasts a massive network of nearly 3,900 stores across Poland, serving approximately 1,300 towns and cities. The chain is projected to achieve a revenue of 25.3 billion euros in 2025. Jerónimo Martins has a history of regional expansion, having been considered as a potential buyer for Tesco's Central European assets and involved in Carrefour's Romanian withdrawal, though it did not acquire either.

The company is set to make its first foray into a new foreign market by opening around 50 stores in Slovakia starting in March 2025. This move into Slovakia precedes any confirmed plans for Hungary, with current information indicating no immediate plans for a Hungarian launch.

However, if Biedronka does enter Hungary, its established economies of scale and aggressive promotional strategies could significantly escalate the price war already underway. This would present a substantial challenge to existing players like Lidl and Aldi, who have long dominated the discount sector in the country.