All of the UK's leading retailers have been consulted about the Code, while suppliers feel it does not work

All of the UK's leading retailers have been consulted about the Code, while suppliers feel it does not work

The OFT's review of the Supermarkets Code of Practice found a widespread belief among suppliers that the Code is not working effectively.

There is no hard evidence to support this, however. The OFT is therefore commissioning further work to establish how supermarkets deal with suppliers under the Code.

Following a consultation with suppliers, their trade associations and Asda, Sainsbury's, Safeway and Tesco, 80 to 85 per cent of respondents claim the Code has failed to bring about any change in the supermarkets' behaviour.

Despite anecdotal evidence that the Code is not working, no cases have gone to mediation under the Code. Nor has the OFT received any detailed information from suppliers or trade associations about alleged breaches of the Code. This has made it impossible to draw any firm conclusions as to how individual supermarkets are operating under the Code, though it is clear that widespread dissatisfaction amongst suppliers continues.

See Friday's Fresh Produce Journal for more details and industry reaction.

Topics