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The trade association representing Canada’s biggest supermarket chains is joining calls to establish a formal set of rules for grocers and their suppliers, a significant about-face that could accelerate the campaign to check the power of the most dominant players in the Canadian grocery business.
Food producers have for months been pushing the government to legislate a code of conduct that would stop bully tactics in the grocery industry after some large grocers implemented new fees and heavy fines on suppliers during the pandemic.
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OTTAWA — A group of associations representing food producers and retailers has agreed to work together to develop a food industry code of practice, a collaboration one industry insider is calling a ". . .
Winnipeg Free Press By: The Canadian Press Save to Read Later
OTTAWA - A group of associations representing food producers and retailers have agreed to work together to develop a food industry code of practice.
OTTAWA - A group of associations representing food producers and retailers have agreed to work together to develop a food industry code of practice.
The associations have come together to form the Canadian Food Industry Collaborative Alliance to develop a framework for food industry leaders to develop the code.
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The move follows the creation of a working group by federal, provincial and territorial agriculture and food ministers last year to look at the grocery industry, including the imposition of unilateral costs on suppliers, fining suppliers for shortages and offloading operating costs onto suppliers.
The industry alliance, which includes the Canadian Federation of Independent Grocers, the Canadian Produce Marketing Association, Food and Beverage Canada, the Retail Council of Canada and others, say a code of practice would help ensure transparency and contractual certainty in commercial transactions.
It would also promote fair dealings in negotiations, particularly where there is a significant disparity in negotiating power and provide an effective dispute resolution process.