Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Market Study Of Supermarkets ‘positive’ For Shoppers, Manufacturers

The market study of supermarkets announced today by the Government will be positive for Kiwi shoppers and grocery manufacturers, says the New Zealand Food & Grocery Council.

Chief Executive Katherine Rich says: “This review is not before time.

“The Government says it wants to make sure consumers are getting a fair deal at the checkout, and that there are indications competition in the sector has weakened. It is a fair question for the Government to ask in a small market where there are two dominant teams that control over 95% of mainstream supermarkets.

“New Zealand has the most concentrated market in terms of supermarket ownership in the world and with that privileged market position comes additional responsibilities and accountabilities.

“It will be most valuable for the review to make transparent the effects this market power and the impact of the array of costs, rebates, deductions, claims, discounts, deletion threats, shelf auctions and supermarket margin expectations have on final prices to the consumer and the health of the New Zealand supplier community.

“The Food & Grocery Council will participate fully with the Commerce Commission’s study.”

Mrs Rich says she hopes the review will help pave the way for the establishment of a Grocery Code of Conduct in New Zealand.

“Suppliers have for too long had to put up with unfair and abusive behaviour by some stores.

“We need to shed light on some of the more questionable claims and demands being made of suppliers by some stores that, from time to time, overstep the line between robust negotiation and bullying.

“I have been speaking recently to leaders across the food and grocery sector, and to a person they agree a Code would be an excellent baseline for business dealings with supermarket customers.

“A Grocery Code of Conduct will never be a panacea, but those with experience in Australia and the United Kingdom report Codes there have made a huge difference, ruling out some egregious behaviours immediately and laying the foundation for better retailer/supplier relationships.

“I believe a Code here will ensure better treatment of all grocery suppliers to supermarkets – growers, manufacturers, marketers, and particularly merchandisers, who keep the shelves stocked.”

The Food & Grocery Council has also launched a petition asking Parliament to support a Grocery Code of Conduct. It’s on Parliament’s website here.

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 




Air New Zealand: Employees Recognised With $1,000 Share Award

The efforts Air New Zealand employees made during one of the airline’s toughest years will be recognised via an award of $1,000 worth of company shares to all permanent employees... More>>

Consumer NZ: Bank Complaints On The Rise, Survey Shows

Nearly one in five Kiwis had a problem with their bank in the past year, Consumer NZ’s latest satisfaction survey finds. Consumer NZ chief executive Jon Duffy said the number of bank customers reporting problems had jumped to 18%, up from 11% in 2020... More>>

Federated Farmers: Applauds UK-Australia Free Trade Deal

News that Australia and the UK have signed a free trade agreement is a promising step forward in the fight against tariffs and protectionism, Federated Farmers says.
"It reinforces the international rules-based trading framework and is important for rural producers and global consumers," Feds President Andrew Hoggard says... More>>




ASB: New Zealanders Missing Out On Hundreds Of Millions In KiwiSaver Government Contributions

New Zealanders have just over a week to ensure they’re eligible for the maximum annual government KiwiSaver contribution... More>>


Stats NZ: GDP Climbs 1.6 Percent In March 2021 Quarter Following December Dip

Gross domestic product (GDP) rose by 1.6 percent in the March 2021 quarter, following a 1.0 percent fall in the December 2020 quarter, Stats NZ said today. "After an easing of economic activity in the December quarter, we’ve seen broad-based growth in the first quarter of 2021... More>>

Reserve Bank: Debt Serviceability Restrictions Added To Policy Toolkit

The Reserve Bank – Te Pūtea Matua and the Minister of Finance have agreed to update their shared Memorandum of Understanding (MoU) on macro-prudential policy and add debt serviceability restrictions to the list of potential tools available... More>>