The latest report from the Groceries Code Adjudicator sets out what it learned from its recent consultation on 'Payments for Better Positioning' -- the attempts by the big retailers to charge suppliers for desirable positioning in stores.
The Groceries Supply Code of Practice does not allow retailers to charge suppliers, either directly or indirectly, for better positioning or allocation of shelf space within stores. However, the grocers' regulator, the Groceries Code Adjudicator (GCA), was concerned that the UK's 10 biggest food retailers -- which fall within the GCA's remit -- might be using various tactics to circumvent the regulation, so it held a consultation.
The resulting report concludes that while some limited or anecdotal evidence was provided of practices which might be in breach of the Code, there was not enough information to support the need for further guidance on what the code does and does not allow. It also notes that the retailers seem to have changed their behaviour in the light of the Code's requirements. Read the full report here.
The Code and GCA are vital parts of Grocery supply regulation. In response to a current review of their work, Sustain are campaigning with others, to ensure that every farmer, worker, and business which is selling into the UK market can actually benefit from their work. Therefore Sustain supports the continuation of the GCA, which has started to improve how supermarkets purchase from their suppliers. Sustain also wants to see the GCA’s remit extended to help support fairer trading practices along the whole supply chain.
Sustain campaigns for a greener, healthier and fairer food system. Find out more about our work here.
Published Friday 10 February 2017
Sustain: Sustain The alliance for better food and farming advocates food and agriculture policies and practices that enhance the health and welfare of people and animals, improve the working and living environment, enrich society and culture and promote equity.
