Government welcomes final report on retail grocery market
Published: 08 March 2022
The retail grocery sector market study was launched in November 2020 to look into competition in the sector, and today the Commerce Commission released its final report.
The Commission’s findings confirm that competition is not currently working well for consumers in the retail grocery sector, and that improved competition would place stronger pressures on retailers to provide New Zealanders with better prices, quality, range and service in their supermarket shop.
To address its findings, the Commission has made a number of recommendations aimed at improving competition in the New Zealand retail grocery sector.
The Government has announced today that it will immediately progress work on the Commission’s recommendations and will look at what changes may be necessary to bring about better outcomes for all New Zealanders. This includes commencing work on:
- Exploring how a code of conduct between retailers and suppliers could be developed
- Looking at how a new regulator and dispute resolution scheme could be used to provide oversight of the retail grocery market
- Designing a new regime to ensure retailers have better access to wholesale supply
- Making it easier for grocery retailers to enter the market by improving availability of sites for new supermarkets.
There are also a number of recommendations the Commerce Commission has made directly to major grocery retailers.
Work on the Commission’s recommendations will progress as a priority and legislation is expected to be introduced this year.
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