Parliamentarians Michael Moore MP and Jim Hume MSP have welcomed news that the Government is planning to establish a supermarket ombudsman to protect agricultural producers from abuses of power by large retailers in the UK.
Ministers announced earlier today that they had accepted the recommendation that an independent body be established to enforce the new Groceries Supply Code of Practice due to come into force in February 2010.
The establishment of an independent ombudsman for the groceries sector was first suggested in a report from the Competition Commission (CC) in 2008. In August 2009, the CC recommended that the Government create an ombudsman in statute after failing to secure the voluntary support of the major supermarkets for their proposals.
Mr Moore and Mr Hume wrote to UK Ministers in December to raise the difficulties that producers in the Borders have experienced in their dealings with large retailers, and pressed for the implementation of the CC’s proposals as a matter of urgency.
Commenting, Mr Moore said:
Michael Moore MP: Borders
‘Despite the unacceptable delay, today’s announcement that the Government has accepted the recommendations of the Competition Commission on the creation of an independent ombudsman for the groceries sector is welcome news.
‘The need for the reform of the voluntary arrangements governing the relationship between the major supermarket and their suppliers has been evident for many years. Ministers now need to ensure that this decision is more than a political gesture - the new ombudsman must have real power to protect the interests of small producers in the Borders and around the UK.’
Mr Hume added:
Jim Hume MSP: South of Scotland
'The Government has now accepted that a groceries ombudsman is necessary to oversee the food supply chain and Ministers must now get on with the business of making that a reality. Farmers and growers have long struggled with inherent imbalances which have existed in the food supply chain and the creation of an ombudsman will be one step closer to a fair deal for producers in the Borders and the South of Scotland.'