The Association of Convenience Stores (ACS) has insisted that independence is vital to the credibility and effectiveness of a supermarket regulator in a submission to the Government consultation.
ACS responded to the consultation, which closes today (30 April), alongside colleagues in the Grocery Market Action Group (GMAG).
The group brings together suppliers, retailers, consumers and environmental and fair trade pressure groups. The group agrees on the need for an effective supermarket regulator and campaigns for the 2008 recommendations of the Competition Commission to be implemented.
ACS is one of the organisations supporting the GMAG submission made on behalf of the group by chairman Andrew George. In a letter to the consultation, ACS has set out why local shops support the introduction of an Ombudsman.
ACS chief executive James Lowman said: “Our over-arching belief is that the harmful practices identified by the commission demonstrate that the grocery market is failing to work in the interests of consumers. Creating an ombudsman would be a big step in the right direction.
“The commission focused on the impact of harmful supermarket buying practices on commercial risk and reduced innovation. We believe this harm extends further into competition between different types of grocery retailer leading to price based discrimination between different operators in the grocery supply chain.
“ACS does not believe that that an ombudsman should be incorporated within an existing regulator, such as the Office of Fair Trading. The resource, focus and expertise required to perform the role effectively will be the same wherever the body resides.
“We also believe that the new office would benefit from being visibly standalone and independent, resulting in a greater trust and respect.”
All three of the major parties vying for election support the introduction of a regulator to oversee supermarket relations with their suppliers. The consultation submissions will be considered by the incoming government.
Source; ACS
