Submission on the Market Study into the Grocery Sector (Draft Report)

Cooperative Business NZ made this submission to the Commerce Commission in response to the draft report of its Market Study into the Grocery Sector, released in July 2021. The submission provided perspectives from New Zealand’s cooperative and mutual business community, including entities operating within the grocery retail ecosystem.

The submission focused on how cooperative business models contribute to competition, long-term sustainability, and value retention within New Zealand, and highlighted the importance of considering cooperative structures when assessing market dynamics.

Submission at a glance

• Prepared by: Cooperative Business NZ 

• Date: February 2021 

• Submitted to: New Zealand Productivity Commission (now disestablished) 

• Policy area: Productivity, competition, economic structure 

• Format: Written briefing (PDF) 

CBNZ position

The submission encouraged the Commerce Commission to consider the distinct characteristics of cooperative enterprises when finalising recommendations, and to recognise the role cooperatives play in supporting competition, community outcomes, and long-term economic resilience.

Key issues addressed

• The role of cooperatives in enabling competition within concentrated markets

• Cooperative ownership and its impact on pricing, employment, and reinvestment

• Consideration of international cooperative principles and UN guidelines

• Potential unintended consequences of regulatory interventions for cooperative models

• Broader implications for other sectors where cooperatives operate

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