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Govt Welcomes Draft Report On The Retail Grocery Sector

Hon Dr David Clark
Minister of Commerce and Consumer Affairs

The Commerce Commission’s draft report into the retail grocery sector is being welcomed by Government as a major milestone.

“I asked the Commerce Commission to look at whether this sector is as competitive as it could be and today it has released its draft report for consultation,” Commerce and Consumer Affairs Minister, David Clark said.

“The draft findings indicate that there are problems in the market and that New Zealanders would get better prices, ranges and quality if there was increased competition in the grocery sector.

“The study delivers on a Labour Manifesto commitment and was launched in November 2020. It looks into both the consumer and supplier side of the grocery market.

“Consumers deserve to know if they are getting a fair deal at the supermarket checkout, and the draft findings indicate they may not.

“The average Kiwi household spends a large amount of its weekly expenses on food, and this has been increasing year on year.

“I encourage everyone to read the draft and make a submission as this will help the Commission form the final report. I look forward to a public discussion of the issues in the draft report and seeing the Commission’s final recommendations,” David Clark said.

The supermarket study follows on from a report into the retail fuel sector in 2019 which led to swift action to improve competition and pricing.

The draft report and information on how to make a submission is available on the Commerce Commission’s website. Consultation is open for four weeks, closing 26 August.

The Commission will publish its final report on the study by 23 November 2021 and the Government will then consider what changes may be necessary to bring about better outcomes for consumers.

Contact: Sam Farrell, 021 844 506 sam.farrell@parliament.govt.nz

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