Fresh food supplier Speirs Group said it is difficult to make a profit supplying supermarkets since the industry reduced to two main players.

Speirs Group has sold its finance business, leaving it with a fresh food business. Its comments about the buying power of supermarket groups follows remarks last week on the issue by fish suppliers.

NZAX-listed Speirs Group has a significant share of the market for supplying fresh salad and vegetable products to supermarkets nationally. "Over the past two years or so we have found the going to be tough, particularly since the supermarket operators were reduced from three to two consequent upon the Woolworths purchase of Progressive Enterprises," chairman Nelson Speirs said at his company's annual meeting.

The supermarket groups kept their suppliers in "constant competitive mode", he said. "We have found it difficult to break even during this time."