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Report into supermarkets pushed back

Luke Malpass

The Government has confirmed it will be delaying the final report of the Commerce Commission’s investigation into supermarket competition, until March next year.

The market study, which was a campaign promise of Labour, is being conducted by the Commerce Commission. The draft report published in late July found there was not enough competition in the sector, and suggested a raft of potential changes, including the option of breaking up players if required.

The final report, which was due in November 23 of this year, has now been pushed back to March 8, 2022 by the Government at the request of the Commerce Commission, after Covid-19 has delayed its investigations.

‘‘The recently escalated Covid-19 alert levels across New Zealand mean the commission cannot complete its report by 23 November, 2021. An extension is needed to provide for meaningful consultation with a broad range of stakeholders within the current environment,’’ Minister of Commerce and Consumer Affairs David Clark said.

It is understood that, as a result of the potentially radical nature of the first report, new stakeholders have also expressed an interest in submitting to the Commerce Commission.

The commission ‘‘got more fulsome and thoughtful feedback from stakeholders than they expected,’’ Clark said. ‘‘It is also vitally important that the commission completes the market study to a high quality. The draft report included draft findings, and mooted a wide range of options to address areas of concern. The final report is expected to provide more targeted recommendations,’’ he said.

The delay is partly practical, the Commerce Commission prefers to do face-to-face meetings and workshops with stakeholders, and Covid-19 has made that far more difficult. The two major supermarket chains – Woolworths New Zealand and Foodstuffs were also extremely busy during level 4 lockdown.

‘‘The consultation process on this draft report will refine and potentially change the final recommendations,’’ Clark said.

National News

en-nz

2021-09-25T07:00:00.0000000Z

2021-09-25T07:00:00.0000000Z

https://fairfaxmedia.pressreader.com/article/281672553090622

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