Canadian Grocery Code of Conduct
AFPA, in partnership with food and beverage manufacturing industry associations across Canada are appealing to provincial ministers to raise the serious issue of a much-needed Canadian Grocery Code of Conduct at the next meeting of Canada’s agriculture and food ministers, scheduled for November 21, 2020.
Canada has a highly concentrated grocery sector, with just 5 large retailers controlling over 80 % of Canada’s grocery market. This concentration has allowed retailers to dictate the terms of business and levy unnecessary, arbitrary fees and deductions on suppliers. These measures have injected inefficiency into Canada’s food system leading to higher consumer prices, reduced food autonomy and declining investments in Canadian food and beverage processing. Today, 83% of new food products introduced in Canada were neither developed nor manufactured in this country.
COVID-19 has demonstrated the importance of having a resilient and robust food system. As we look to strengthen Canada’s food supply, a Canadian Grocery Code of Conduct can play a critical role in ensuring greater balance across the food supply chain and in reducing practices that create disincentives to investment and innovation in Canada.
You can read the letters sent to provincial government ministers here: Alberta
We have been informed recently that this important topic will be added to the ministers’ meeting agenda. We will report any developments as soon as we are able to.