All the organizations that participated in the discussions on the Code have signed non-disclosure agreements (DNAs) and cannot talk about its contents.
Agriculture Minister Lawrence MacAulay says he is disappointed the Code “still not been launched and that supply chain partners are hesitant to move forward.
“At a time when Canadian families are struggling with the cost of food, we need the major grocers and all supply chain partners to adopt and adhere to the Code. It is a tangible way to bring more fairness, transparency and stability to our grocery sector and supply chain.”
The government is reviewing all possible options available to bring it into force, he said.
The Canadian Federation of Agriculture, one of the members of the Grocery Code steering committee, said the goal is to have all parties involved sign onto the Code.CFA wants to see it come into force. “The Code has a planned implementation for 2024, and we hope to see it have positive impacts on Canada's food systems."
Meanwhile a public opinion poll by Abacus Data has found that only one third of Canadians were aware of the proposed Code but more than two thirds of them support it and want governments to impose it on any business that refuse to abide by it. Only 7 per cent of those polled think a Code is a bad idea.
Abacus described the Code as “a set of industry guidelines and principles aimed at promoting fairness, transparency, and competition within the grocery supply chain. The voluntary code seeks to address issues such as unfair practices, arbitrary fees, and lack of clarity in business relationships between suppliers and retailers in the grocery sector.” Consumers will benefit through improved product availability and affordability.
The Abacus poll found that 3 in 4 Canadians “believe that the high concentration of the grocery market in Canada, where five companies control 80 per cent of grocery sales, results in higher prices. This perception is consistent across various demographics and political affiliations.
“The increasing cost of living has been a primary concern for Canadians for years, with rising prices and inflation being the most common worries. The widespread belief that the grocery market's structure contributes to higher prices has led to a strong, cross-partisan support for the Grocery Code of Conduct.”
Meanwhile Canada’s Food Report for 2024 says that Canadian families will spend $16,297 for groceries in 2024, up $702 from this year due to rising production and increased input costs.” Canadians will continue “to experience the strain of food inflation, compounded by increasing costs of housing, energy, and various other expenditures.”
As a result, Canadians are reducing the quantity or quality of food and turning more to food banks, the Report said.
This news report was prepared for National Newswatch.