Sobeys Chief Executive, Michael Medline, has reassured consumers that the newly implemented Grocery Code of Conduct will not result in higher prices for groceries. This statement comes after concerns were raised about the potential impact of the code on the cost of food.
The Grocery Code of Conduct, which was introduced by the federal government in January, aims to promote fair and transparent business practices between retailers and their suppliers. It requires retailers to provide written contracts to their suppliers, as well as giving suppliers the ability to negotiate terms and conditions.
Despite fears that this code would lead to an increase in grocery prices, Medline believes that it will actually have the opposite effect. He argues that the code will create a more competitive environment, which will ultimately benefit consumers.
In an interview with CP24, Medline stated, “We believe that the code will actually drive prices down, not up. It will create a more level playing field for suppliers, which will result in more competitive pricing for consumers.”
Medline also emphasized that Sobeys is committed to working with their suppliers to ensure that the code is implemented effectively. He believes that this collaboration will lead to a more efficient and fair supply chain, which will ultimately benefit both retailers and consumers.
The Grocery Code of Conduct has been met with mixed reactions from industry experts. While some have expressed concerns about the potential impact on prices, others have welcomed the code as a step towards promoting fairness and transparency in the grocery industry.
In light of these concerns, Medline’s reassurance that the code will not drive prices higher is a welcome statement for consumers. As the code continues to be implemented, it remains to be seen how it will impact the cost of groceries in the long run. However, for now, consumers can rest assured that Sobeys is committed to keeping prices competitive and fair.
