Global Courant 2023-05-04 00:27:16
OTTAWA –
Efforts to create a Canadian food code of conduct have reached a major milestone with a proposed final version that includes a process to resolve disputes and impose sanctions on systematic code violators.
However, the language in a copy of the proposed code obtained by The Canadian Press does not appear to penalize companies that do not adhere to its principles.
Still, Michael Graydon, co-chair of the steering committee overseeing the code, says the voluntary code has some potential deterrents to encourage compliance, such as potentially publishing “consistent bad behavior.”
Graydon, CEO of Canada’s Food, Health & Consumer Products supplier group, says the proposed code has teeth, though they may not be as sharp as some had hoped.
He says the supermarket code is fundamentally about “good business practices,” removing irritants from the supermarket supply chain and creating more balance in the supplier-retailer relationship.
The industry committee working on the grocery code was created in response to controversial fees charged to suppliers by major supermarkets.
Gary Sands, senior vice president of public policy for the Canadian Federation of Independent Grocers, says the code aims to treat all industry members equally.
“There is no distinction between a small player or a big player,” he says. “Everyone is treated equally.”
The industry-led food code of conduct was presented as a way to address long-standing issues such as arbitrary fees, cost increases imposed without notice, and payment delays.
The code aims to provide retailers and suppliers with a mechanism for how fees and fines are levied in the food industry, among other guiding principles.
A consultation process on the proposed code is open to members of the food industry until May 30.
This report from The Canadian Press was first published on May 3, 2023.
