Canada's Grocery Code of Conduct one step closer to being implemented
Canada is one step closer to creating a Grocery Code of Conduct in an effort to level the playing field for both producers and grocery stores.
The country’s agriculture ministers, along with industry leaders, met Friday to discuss the final details of the plan that would see a more fair, transparent relationship between retailers and producers.
“What we're trying to do with this Grocery Code of Conduct is bring an end to the wild west and sort of have a sheriff in town,” said Gary Sands, the vice-president of the Canadian Federation of Independent Grocers.
The code would be mandatory and see governing rules implemented, something Sands believes would help smaller stores.
“Other, bigger retail chains will ask for all of the product or an increase in product, and if (producers) don't supply that retail chain with that, there's been a fee or a fine imposed,” he says.
That strategy results in smaller stores left with little to no supply. It’s an issue the government acknowledges as well.
"We have a few big retailers in the country and we had a lot of complaints from smaller food partners,” said Canada’s federal Agriculture Minister Marie-Claude Bibeau.
Those complaints are largely the result of hidden fees that have been imposed by giant companies, one expert claims.
"You have to pay hundreds of thousands of dollars to get listed and then you have to buy shelf space and other fees, but those other fees just keep coming out of the blue, all the time,” says Sylvain Charlebois, director of the Agri-food and Analytics Lab at Dalhousie University.
He says the unexpected costs have even driven some suppliers away.
"Processors just didn't want to invest in Canada, at all, which limits the number of companies and competition, which would have brought prices lower,” says Charlebois.
He believes implementing the code would result in more suppliers looking to distribute in Canada. That could be good news for consumers, as more competition usually results in slight price decreases, Charlebois says.
He says the biggest win would be for smaller businesses to see a level playing field.
The government is now working on creating a governing body to oversee the rules and impose fines when necessary.
Australia and the United Kingdom have imposed similar codes, and with all of Canada’s agriculture ministers on board, Canada is one step closer to joining that list.
CTVNews.ca Top Stories
Spectacular aurora light show to be seen across Canada Friday night
A rare and severe solar storm is expected to bring spectacular displays of the northern lights, also known as aurora borealis, across much of Canada and parts of the United States on Friday night.
Which Canadian cities have the highest and lowest grocery prices?
Where you live plays a big factor in what you pay at the grocery store. And while it's no secret the same item may have a different price depending on the store, city or province, we wanted to see just how big the differences are, and why.
McGill University seeks emergency injunction to dismantle pro-Palestinian encampment
McGill University has filed a request for an injunction to have the pro-Palestinian encampment removed from its campus.
Swarm of 20,000 bees gather around woman’s car west of Toronto
A swarm of roughly 20,000 bees gathered around a woman’s car in the parking lot of Burlington Centre.
U.S. says Israel's use of U.S. arms likely violated international law, but evidence is incomplete
The Biden administration said Israel's use of U.S.-provided weapons in Gaza likely violated international humanitarian law but wartime conditions prevented U.S. officials from determining that for certain in specific airstrikes.
Barron Trump declines to serve as an RNC delegate
Former U.S. President Donald Trump's youngest son, Barron Trump, has declined to serve as a delegate at this summer’s Republican National Convention, according to a senior Trump campaign adviser and a statement from Melania Trump's office.
Mother assaulted by stranger while breastfeeding baby in her car: Vancouver police
A person was arrested in East Vancouver Thursday after allegedly entering a car while a mother was breastfeeding her four-month-old boy.
'We have laws': Premier Smith says police action justified in Calgary
The actions, including the decision to use non-lethal force, to disperse pro-Palestinian protesters from the University of Calgary campus were justified, Alberta Premier Danielle Smith said Friday.
'State or state-sponsored actor' believed to be behind B.C. government hacks
The head of British Columbia’s civil service has revealed that a “state or state-sponsored actor” is behind multiple cyber-security incidents against provincial government networks.