Commerce Commission Welcomes The Appointment Of The Grocery Commissioner, Pierre Van Heerden

The Commerce Commission has today welcomed the appointment of Pierre van Heerden as the Grocery Commissioner by the Minister of Commerce and Consumer Affairs. Mr van Heerden will take up his role as the Grocery Commissioner at the Commerce Commission on 13 July 2023.

Commerce Commission Chair John Small says: "Pierre brings a huge amount of experience and knowledge about the grocery sector to this role".

"He is passionate about being a champion for Kiwi consumers – I know he sees the Grocery Industry Competition Act as a once-in-a-generation opportunity to level the playing field in the grocery sector. It will support more retailers to enter the market and promote stronger competition with the regulated grocery retailers on price, quality, range of products and convenience."

The Grocery Industry Competition Act designates Foodstuffs North Island, Foodstuffs South Island, and Woolworths New Zealand as regulated grocery retailers (RGRs). It puts requirements on them to consider requests from other retailers for wholesale supply in good faith and to follow the Grocery Supply Code in their dealings with suppliers. These changes are designed to bring more competition to the sector and more transparency to agreements between the RGRs and suppliers, benefitting New Zealand consumers over the long-term.

Dr Small says: "The scrutiny on this $22 billion sector since the Commission’s Market Study has already delivered positive changes. The RGRs have worked constructively to relinquish restrictive lease covenants that posed a considerable obstacle to other retailers developing or expanding their grocery offering to consumers."

Foodstuffs and Woolworths NZ have also quickly put in place the wholesale access schemes required of them by the Act and are taking orders to provide wholesale supply to other retailers.

"Pierre has deep knowledge of the grocery sector along with over 25 years of experience in the supplier side and working with retailers – he is the right person to lead grocery regulation and build on these early, positive developments. He is passionate about delivering a long-lasting and sustainable shift to a grocery sector where New Zealanders enjoy the benefits of retailers competing hard and innovating in order to attract and retain customers."

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