A strong Groceries Code Adjudicator - good for producers, good for consumers

Welcoming the Business, Innovation and Skills (BIS) Select Committee’s ’Time to bring on the referee?’ report on the Government’s proposed Adjudicator for the Groceries Code, the Food Ethics Council’s policy director Sean Roberts said:

"The market dominance of a small number of large retailers has had severe adverse consequences for farmers and other suppliers – including reduced margins, additional costs, unreliability of contracts, and the transfer of risk. This clearly makes the case for ensuring that the GCA has the necessary powers to perform its role effectively.

"The Food Ethics Council is pleased that the BIS Select Committee has recognised the concerns expressed by stakeholders from all sectors – business and civil society – that the GCA will not have adequate powers to ensure that suppliers get a fair deal from large grocery retailers. We now urge the Government to reflect those concerns in an amended Bill to Parliament without delay.

"We are also pleased that the report reflects producers’ concerns about lack of anonymity when giving information to a GCA on unfair practices. Suppliers are heavily dependent on large retailers for access to consumers, and may be reluctant to complain to the GCA for fear of jeopardising their relationships. We believe the best way of protecting the anonymity of suppliers is to allow the GCA to initiate investigation on the basis of credible evidence provided by third parties, including trade associations."