Thoughts on BC Politics and More

Some could be deemed anti-competitive and might result in food price collusion among rivals By Sylvain Charlebois Consumers often assume that price freezes are always in their favour. However, it’s important to recognize that not all price freezes are equal, especially when it comes to products further up the supply chain. Every year, between Nov. 1 and Feb. 1, grocers request suppliers not to increase prices for undisclosed reasons. This unspoken agreement between grocers and suppliers, which likely started decades ago, may not ultimately benefit consumers. In October, as suppliers renegotiate contracts with grocers, prices are often adjusted, and many increase just before the three-month price freeze. Now that the “blackout” period has ended, we should anticipate food prices rising again, as even Metro CEO Eric Laflèche himself warned consumers during his recent earnings call. Price hikes are likely to affect non-perishable products, primarily those in the centre of the store...

  Canada’s top grocery executives have pledged to “support” the Liberal government’s efforts to keep prices in check, Industry Minister Francois-Philippe Champagne says. The heads of Canada’s biggest grocery chains attended a summit struck by the Liberals in Ottawa on Monday as Parliament Hill returned to session and the government vowed action on affordability issues dogging Canadians ... ... “The large grocers have accepted to work with the government of Canada,” Champagne said. “This is a step in the right direction. … this is just the beginning. We’re going to be working to bring price stability in Canada" ... CLICK HERE for the full story