NZFGC Submission on Commerce Commission Statement of Preliminary Issues: Foodstuffs North Island and Foodstuffs South Island

Earlier this week we lodged NZFGC's submission on the Foodstuffs Merger Proposal with the Commerce Commission, and they have now published the submission on the Commerce Commission website. Our members' views and feedback are of critical importance. The majority of member responses we received shared similar concerns, that while there was some potential for benefits in the proposal, the increase in competitive market share was more likely to increase operational centralisation and reduce negotiation leverage, with a concern that there would be more at stake leading to increases in the cost of doing business for suppliers and increased prices for consumers. Members told us that there were clear whole-of-system benefits in having more regulated grocery retailer (RGR) options to supply and shared concern that the proposal frustrates the regulatory intent at a time when the new Grocery Code regime has only begun. You can read NZFGC's submission here and you can read submissions made by other submitters here.