Open letter to the sector

The Grocery Commissioner has sent an open letter to the sector, highlighting the Grocery Supply Code, and reiterating the obligations on regulated grocery retailers – Foodstuffs South Island, Foodstuffs North Island and Woolworths New Zealand.

The open letter reminds suppliers that there is no deadline for them to have signed any agreements from retailers. They are encouraged to take their time to review the terms, seeking legal advice or clarification from retailers if required.

The open letter also highlights the Commission’s expectation that what is offered to suppliers complies with the Code but will now be monitoring compliance closely.

Major supermarkets have had six months to ensure agreements were compliant with the Code, with a grace period which ended on 28 March.

The Commission has also released the correspondence between the Commission and the three regulated grocery retailers (RGRs),  Foodstuffs North IslandFoodstuffs South Island, and Woolworths New Zealand, regarding their GSAs.

Calling on suppliers to come forward

The Commission is calling on suppliers to come forward if there are any concerns around non-compliance or potential unfair treatment from major supermarkets. They can contact the Commission directly, or through its new anonymous reporting tool on the website here. 

The recently launched anonymous reporting tool is a confidential channel which enables people to remain anonymous, removing any risk of retaliation, when coming forward to the Commission with information about concerning or inappropriate behaviour.

Commerce Commission: Open letter to the Grocery Sector 

Focus of the grocery regulator for 2024

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Tēnā koe

The Commerce Commission has published an open letter to the Grocery sector outlining our focus for 2024.

This letter builds on the Grocery Commissioner’s previous communications with the sector, and provides an update on key aspects of the Commission’s work to date, including:

  • the Grocery Supply Code;
  • the first annual report into the state of competition in the grocery sector;
  • assessing the effectiveness of the wholesale regime; and
  • implementing Unit Pricing Regulations.

Additionally, we have also published our correspondence with the Regulated Grocery Retailers (RGRs) regarding feedback we provided on their draft grocery supply agreements.

The open letter and correspondence can be accessed here.

Further information about grocery regulation can be found on our website.

If you have any questions or comments please email grocery.regulation@comcom.govt.nz.

Ngā mihi
The Grocery Team