Dutch retailer Schuitema said full-year turnover for 2003 rose 8% but warned that general economic prospects for 2004 were not good and that further price wars in its home food retail market could be expected.

Schuitema - 73% owned by troubled Dutch group Ahold - reported sales of 3.22bn euros and that net profit had risen 22% to 48m euros.

In a statement the company noted: “Despite an economic environment that has deteriorated and very tough competition, Schuitema was able to raise both its turnover, market share and profit.”