Through enforcing the Groceries Suppliers Code of Practise within the top UK retailers, the GCA ensures supermarkets treat their direct suppliers lawfully and fairly, investigates complaints and arbitrates in disputes.
The Competition Markets Authority (CMA) announced that two additional retailers will now be covered by the code. Christine Tacon urges suppliers to get in contact with her about their experiences with the new retailers and will then be able to specific issues with them.
Report GSCOP breaches, says NFU
Change to forecasting procedure
In June 2018, there was a revised best practice statement on forecasting which incorporated points relating to promotions, which is where forecasting most often causes problems for suppliers.
The revised statement formalised the GCA’s view that there will almost always be some circumstances in which compensation for inaccurate forecasting is appropriate, so a blanket exclusion in a supply agreement would be unlikely to be compliant with the Code.
Training
It is essential that suppliers of the retailers understand the code and how the GCA interprets it. Make sure your business is code confident.
NFU members can get discounted GSCOP training. Email Rm9vZENoYWluRm9jdXNAbmZ1Lm9yZy51aw== to register your interest & get more information
Top issues
The GCA has been monitoring the progress made by the original 10 retailers on the issues of delay in payments, forecasting and promotions
Retailers have done a lot of work in this area but delay in payments was still the issue most widely reported by suppliers in the last annual survey. The GCA has worked with retailers to implement changes required to meet the compliance standards set following the investigation into Tesco plc and has helped them to put in place systems and processes to minimise the risk of delay in payments arising from drop and drive.
Other changes to systems and supply chain practices have been made based on confidential feedback the GCA has received from suppliers. The GCA needs to hear from suppliers whether these changes are making a difference or conversely, if they continue to experience difficulties.
The GCA published a revised best practice statement on forecasting which incorporated points relating to promotions, where forecasting most often causes problems for suppliers. The revised statement formalised the GCA’s view that there will almost always be some circumstances in which compensation for inaccurate forecasting is appropriate. These points are all derived from experience that suppliers have shared with the GCA.
The GCA will also be working with the additional designated retailers on all the top Issues which she has considered.
Save the dates
17 to 20 March 2019 – International Food & Drink Event at ExCel, London
The GCA will be attending the International Food and Drink Event at ExCel, London. Come and meet Christine Tacon and the team and hear Christine speak on 19 March. The programme is available on www.ife.co.uk.
20 to 21 March 2019 – TasteWales Conference in Newport
Members of the GCA team will attend the TasteWales Conference held at the Celtic Manor Resort in Newport on 20 and 21 March.
24 June 2019 - GCA Annual Conference in London
The GCA will present her annual report and new work programme at the 2019 conference at Church House in Westminster. As in previous years YouGov will announce the results of the GCA’s annual survey. Further details including a registration form will be published on the GCA website in spring 2019.
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