13 Apr 2022

Commerce Minister on what's being done to lower food prices

From Checkpoint, 5:21 pm on 13 April 2022

If your growing grocery bill induces indigestion, figures out today confirm the biggest jump in food prices in more than a decade.

Proof, the government says, that supermarket super profits need to be reined in.

Food prices have gone up 7.6 percent in the past year - the largest increase since July 2011.

Fruit and vegetables are up 18 percent and meat fish and poultry are up 8.7 percent.

Commerce Minister David Clark's reaction's been swift, with a press release calling out grocery retailers making double the profits they should and the saying government will take action to stop it.

He told Lisa Owen the Commerce Commission's recommendation that the government looks at banning covenants on supermarket land needs to be followed up on. 

"The supermarkets have already accepted that they don't want to enforce those. Well, I want to make sure has the force behind it that it needs.

"A mandatory code of conduct for supermarkets, and particularly in the way they deal with the suppliers and how they present their prices to customers are something I think we need to look at as well. 

"And having a regulator that oversees how the supermarkets work. And I think the final one I'd highlight is access to wholesale supply. That is one of the more powerful recommendations I see from the Commerce Commission and I think we need to dig into that."