New rules could increase competition, but might not lower prices
Canada’s grocery code of conduct cleared a major hurdle this week with news that all major grocery retailers will sign on.
The code has been years in the making, coming after a period of tense relations between retailers and suppliers.
A major point of contention has been fees that retailers have charged to keep suppliers’ products in stock and to promote them.
They used to be called “Listing fees” for instance a cookie maker would pay to have its products featured at eye level within easy reach on store shelves relegating the competition to less desirable spots below or high up.
Competition we were told in school would lead to innovation and lower prices.
But in Canada’s Potemkin economy the consumer always pays more for less.
I have a Farmboy literally 5oo yards from my place. It should be renamed Gouger Mart.
I use it for basics when it makes sense but repeatedly have had to have my bill corrected to include unapplied but advertised discounts.
That’s a merchandising disconnect likely due to the foreign student labour they employ.
It’s embarrassing to hold up a line and bring it to their attention but typically the dollar amount is greater than 5 bucks and I see no reason to make Sobey’s richer.
I will say they do fix it promptly when it’s brought to their attention and often offer a further discount.
