The findings will add to the Wal-Mart-owned retailer's woes over pricing. Earlier this month, the Advertising Standards Authority upheld a complaint by rival Tesco after Asda cited a Grocer survey as official proof of its leadership in pricing.
According to the Goldman Sachs report, based on a basket of 50 products, Tesco edged ahead of Asda in the month of August, with pricing 0.2 per cent lower than its rival.
Goldman Sachs food retail analyst Mark McCullough noted that, while Tesco was consistently lower in the price of dry goods, frozen foods and fresh produce, Asda has lower prices in drinks and assorted grocery lines.
He said: 'We believe Asda's extensive internal restructuring programme may have resulted in the new management taking its eye off the ball on pricing, with Tesco successfully exploiting that weakness. Morrisons' price position has deteriorated and Sainsbury's has improved over the past month, according to our latest study.'
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