Arena Williams: Labour Party Commerce Person on the Government's plan to fast-track supermarkets

The Labour Party is accusing the Government of dillydallying on changes to the grocery market.  

Economic Growth Minister Nicola Willis announced plans to speed up the supermarket consent process.  

Labour Party Commerce spokesperson Arena Williams says Labour is working on a suite of changes, but she didn't reveal what they are.  

She told Ryan Bridge the consenting changes could be used by the existing players.  

Williams says it could create less competition and drive more profits to the duopoly. 

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Episode Transcript

Speaker 1 (00:00):
Labour's on the attack this morning over groceries. Consents to
build new supermarkets are going in the express lane. Thank you,
Nichola Willis. This is from years to months predatory pricing
laws will They're getting a beef up and Willis is
keeping a sledge hammer in her back pocket. A threat
to break up the duopoly still a live option, Adding
to Williams's, Labour's Commerce consumer affairs spokesperson with me this morning, good.

Speaker 2 (00:21):
Morning, good morning, Thank for having Matt.

Speaker 1 (00:23):
Great to have you. So you guys fired off for
press release yesterday saying Nichola Willis has been dithering for
two years, didn't you guys have six?

Speaker 2 (00:30):
No, it has taken her a long time to actually
action any of the findings of the Commerce Commission study.
And let's take a look at what they recommended there.
They found how entrenched the problems with will wear some
food stuffs controlling around ninety percent in the market and
pulling more than a million dollars a day and excess
profits every year between twenty fifteen and twenty nineteen. Now
is not the time to land on regular tree solutions

(00:52):
which actually benefit the supermarket diopoly and won't increase real competition.
We needed the action to make sure that grocery prices
are coming down for New Zealanders who were promised that
by the National Party at the election.

Speaker 1 (01:02):
All right, fair, so let's just be clear about what
exactly your support and you don't the consents. Are you
on board with what she's saying?

Speaker 2 (01:09):
The face try accesstem makes sense and the containing rules
changing in this circumstance is going to be a good thing.

Speaker 1 (01:17):
Predatory pricing beefing up. You're on board with that.

Speaker 2 (01:21):
We need to see the detail of that. You could
do this regulatory reform in a way which actually benefited
the supermarket duopoly. I mean they've picked the one option
where it will be illegal for dropping prices, so consumers
aren't going to see lower prices out of that one.

Speaker 1 (01:37):
You have said, this is tinkering, it's weak. What are
you saying exactly, you would break up the duopoly divestment.

Speaker 2 (01:44):
We're saying that of the regulatory options which are available
in Likilwillis and over in the labor patty, we have
been working on a suite of those, this is the
one that she has chosen which will lead to more
profitable stores for the existing supermarket jopoly. I don't know
how they ended up on at least competition in the
market and more profitable stores. But those are the choices

(02:05):
that they have made with the suite of options that
were made available to them.

Speaker 1 (02:08):
But you're not telling us what you would do differently,
What would you break up? Would you go for divestment?
Is that what Labor is seriously looking at.

Speaker 2 (02:16):
Labor was investigating its divestment options under the Commerce Commissions
Study when we launched it into the grocery sector. That's
no secret. We thought about the change that it would
make in our money.

Speaker 1 (02:26):
But isn't this a problem You've spent six years thinking
you did nothing?

Speaker 2 (02:30):
Okay, we launched a common study.

Speaker 1 (02:35):
Into the safety of thinking.

Speaker 2 (02:38):
We unearthed a very cozy market there, made serious reform
under the Grocery Commissioner and brought in a grocery code
which is resulting in prosecutions. Now. Prices have come down,
particularly around the unfair pricing techniques that are going on
in store, things like fake specials, because of that work.

Speaker 1 (02:54):
All right, Adian, I appreciate your time this morning. Thanks
for being on the program. Adian and Williams's Labors spokesperson
for Commerce and Consumer affears.

Speaker 2 (03:02):
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