Lidl open it's first store on the island of Ireland.

Lidl opened their first store in Northern Ireland in 1999, which was followed quickly in 2000 with their first store in the Republic of Ireland. Today they operate stores in 149 locations throughout the island of Ireland.

Aldi follows soon shortly after...

One of Lidl's main competitors Aldi arrived in Ireland in 1999 not long after their rivals started trading. The two mutlinational German retailers come to the Irish market with a vast experience of low-cost grocery distribution in Germany and across many EU countries. Their simple philosphy of "Cheap is good" will undoubtedly have an effect on the retail landscape in Ireland

IFA says ‘Dunnes v Aldi’ price war will damage producers and retailers.

As a price war in grocery items was launched in Cork by Dunnes Stores against the German owned Aldi group, the Irish Farmers' Association warned that short-term gains for consumers would result only in damage to producers, retailers and the industry.

A number of supermarkets cutting prices in response to the arrival of German discount supermarket Aldi in the Irish market.

But it is still unclear whether the skirmishes will turn into a full-fledged price war, a prospect that has suppliers and retailers shuddering, or what the long-term impact of the latest newcomer to the Irish grocery trade will be.

In 2008 Ireland lost an estimated €550m in sales to Northern Ireland.

With difficult economic times setting in many shoppers begin to shop in Northern Ireland. Roads to cross-border towns such as Newry are crammed with traffic from the south. Some Northern Ireland retailers report full clearouts of stocks and a massive increase in sales.

Lidl became the first retailer to respond to Tesco's announcement of price reductions.

Consumers are set to reap the benefits of a grocery price war as Lidl yesterday became the first retailer to respond to Tesco's annuncement of price reductions. Dunnes are likely to respond shortly. 'It's not question of whether Dunnes will respond, but when and how. They can't afford to sand idly by,' said one source.

‘Unbelievable price cuts’ have been achieved ‘without shifting business overseas.’

Lidl has announced “wide-ranging” price cuts for its Irish business, which were “permanent and valid” from Saturday 9 May. Lidl spokesperson Aoife Clarke said the price reductions are being rolled out under a ‘One Country, One Price’ scheme, whereby the “unbelievable price cuts” have been achieved “without shifting business overseas.”

On 5 May Tesco reopened 11 of its stores in border towns.

After having shut them for the weekend Tesco stores opened revamped with the their new, cheaper imported lines and cut price brands. The price switch within the 11 stores comprised of 12,500 price cuts of an average 22%, and further nationwide price cuts on meat, milk and poultry.

Retailers near the Border, have seen a boom in spending by Southern shoppers.

Cross-border shopping has cost 11,000 retail jobs in 2009 and thousands more are on the line next year, retailers have claimed. Some 16 per cent of households made at least one shopping trip to the North during the period to July, and shoppers from Dublin accounted for one-third of all trips.

Suppliers being squeezed by large multiples with small suppliers effected with job losses.

Suppliers have complained loudly that the powerful retailers have forced them to bear the cost of price cuts. Irish suppliers say they are being squeezed off supermarket shelves by cheaper imports. Consumers are happy with the lower prices but jobs are undoubtedly being shed in supply and distribution.