Major retailers argue that enacting a Grocery Code of Conduct will lead to higher food prices and serve only to increase the profits of Canada’s suppliers.
Nothing could be further from the truth.
Suppliers and large grocery retailers in the United Kingdom, Ireland and Australia have been living with similar codes of conduct for years.
The codes, developed to address similar unfair practices by major grocers there, have not only improved business relationships between retailers and suppliers but have resulted in lower prices at checkout for consumers.
In the seven years since the United Kingdom established its ‘Groceries Supply Code of Practice’ food prices adjusted for inflation have decreased more than 8% while Canadian food prices have increased by 4% in the same period.
A Grocery Code helps everyone: farmer, processor, retailer and consumer.