2020 has been a tough year. Not only has COVID-19 presented unique challenges to the way we work, play and socialise, for many Kiwis the pandemic has also meant more of a strain on the back pocket.
One way our Government can help lighten the load is to make sure Kiwi families aren’t paying more than they should on their weekly shop.
At the moment, the average New Zealand household spends roughly 17 percent of its weekly expenses on food, and this has been increasing every year.
That’s why one of the first moves our Labour Government is making is investigating grocery prices, to make sure Kiwis are getting a fair deal at the supermarket checkout.
Our market study will look into the retail grocery market in New Zealand, where there are some indicators that competition in the sector has weakened over time.
If the Commerce Commission finds that there are issues affecting competition, we will make the necessary changes to bring about fairer pricing.
This market study follows our successful market study on fuel pricing last term, which led to the Fuel Industry Act - an example of the swift action we took to address competition and help lower prices.
The Act introduces a number of changes to improve competition in the industry, including making pricing more transparent by requiring fuel prices to be displayed on forecourt price boards.
Like the fuel market study, our study into supermarket pricing is yet another way we’re looking out for Kiwis and working together to support New Zealand’s COVID recovery.
If the study does identify issues in the supermarket sector, we are ready to make the necessary changes - so that Kiwis and their families can do their weekly shop with less of a hit to their household budget.