We are nearing the end of the Golden Quarter and, in an ideal world, the grocery sector would be focused entirely on getting products on the shelves during the busiest time of the year. However, inflation continues to cause problems and impact relationships between suppliers and Retailers. I have, therefore, intensified my discussions with Retailers about the application of my 7 Golden Rules to Cost Price Increase (CPI) requests. I have been concerned to hear suppliers talk about excessive requests for information, a lack of communication around predicted timelines, inexperienced buyers who are not being supported (and therefore delaying negotiations) and delayed implementation of agreed price rises. Retailers have agreed through the 7 Golden Rules that these are practices they want to avoid, so I encourage suppliers experiencing these issues to contact the Retailer's Code Compliance Officer (CCO), me, or my team.
I want to take this opportunity to also mention 12 week notice periods for CPI requests. I have heard of buyers claiming an implementation period is a Code requirement. This mirrors inaccurate rumours about appropriate notice periods given to suppliers whose products are being de-listed. I want to be clear that there is no 12-week period prescribed in the Code for either CPIs or de-lists. If you are told this, again please contact me, or my team, or speak to the Retailer's CCO.
Following my last newsletter, I held my annual conference in September. Hundreds of suppliers participated in discussions on challenges facing the sector and the support available to suppliers from Retailers. I would like to thank everyone who attended and took part in the conference and look forward to seeing many of you at my 2023 conference.
Visiting Scotland
In November, I attended a roundtable with Scottish suppliers organised in partnership with Food and Drink Federation Scotland and Scotland Food and Drink. This gave me the opportunity to hear first-hand about the issues these suppliers were experiencing.
The information I gain from meetings like these helps me to hold Retailers to account and work with them to improve their treatment of suppliers. I am planning visits to all regions of the United Kingdom to ensure I am hearing from a wide range of suppliers. I will advertise future visits in these newsletters so stay tuned for details.
Alternatively, I am keen to hear from suppliers whenever you have issues or information. You can confidentially contact my team with information or to organise a meeting or use my confidential reporting platform - Tell the GCA. All the
