SGF Comments on Competition Commission’s Grocery Market Inquiry
30 April 2008
Responding to the final report of the Competition Commission’s Grocery Market Inquiry, SGF (Scottish Grocers Federation) doubt the remedies put in place by the Commission will alleviate the stranglehold the national food chains have over the grocery market.
Whilst welcoming the introduction of a competition test and Ombudsman SGF believe the Commission could have done more to promote a more diverse retail offering.
SGF are concerned the competition test does nothing to prevent a grocery chain opening smaller stores and believe it would have been more effective if it had included smaller developments under 1000 sq m.
SGF recognise the need for an ombudsman but question how effective an ombudsman would be if they have limited powers to investigate the grocery market.
Commenting John Drummond, Chief Executive of SGF, said:
“Planning is a devolved matter and SGF look forward to meeting with officials from the Scottish Government in the near future to discuss the outcomes of the inquiry and in particular the competition test.
“There is a need for an ombudsman however they must have the power to undertake proactive investigations into irregularities within the grocery market in order to ensure a level playing field.
“What is required is a plan of action to promote sustainable and diverse retailing with a healthy mix of large and small store offering genuine choice which is not dominated by multiple supermarkets. SGF will continue to work with politicians to ensure this becomes a reality.”
Scottish Grocers Federation