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Voluntary Grocery Code of Conduct to be in force January 1, 2026

L-R:  Luc Mougeot, president and CEO, Dispute Resolution Corporation; Karen Proud, president and adjudicator, Office of the Grocery Sector Code of Conduct, Diane Brisebois, vice-chair of the board.
L-R: Luc Mougeot, president and CEO, Dispute Resolution Corporation; Karen Proud, president and adjudicator, Office of the Grocery Sector Code of Conduct, Diane Brisebois, vice-chair of the board.

Karen Proud, the first president and adjudicator of the Office of the Grocery Sector Code of Conduct, has announced timelines for the next year. While being in the role only since March 17, 2025, she expects the website to be in operation by mid-June.  The website will be designed as a portal for members complete with confidentialty forms.  

 

The voluntary code is expected to be in force January 1, 2026. 

 

Her responsibilities include fostering compliance, providing guidance on the code’s interpretation, resolving disputes, monitoring practices, and reporting on progress annually. She will be promoting collaborative and ethical business practices, ensuring the code evolves alongside industry needs. The code will be financed by a member-fee model. The fee structure is yet to be finalized, but will not be cost prohibitive. Fees will be reviewed annually.

 

“The code has been drafted,” said Proud, “but there’s a wide spread in the state of readiness for the code. Next January 1, 2026, I expect everyone to be at the right level of implementing the code in earnest. Our enforcement of the code will be switched on for the dispute resolution mechanisms.”

 

By fall, she will have finalized governance and announced a permanent board of directors. 

 

“Many organizations, especially smaller ones, want guidance on how the code works, whether they are a primary producer or independent grocer,” she said. “We’re going to have to learn over time, similar to the code in the U.K. We will learn over the next year that some provisions don’t work. There may be different interpretations.”   

 

The objectives of the voluntary code is to deliver fairness, transparency, and accountability across Canada’s grocery supply chain.

 

As Gary Sands, vice-president government relations, Canadian Federation of Independent Grocers, said, “It doesn’t level the playing field but it ensures that principles apply to everyone. If it’s regulation that you wish for, be careful. We have multiple jurisdictions in Canada. Do you want to have governments regulating in aisle 5?” 

 

Industry can prepare by reading the code. The Grocery and Specialty Food West Conference is in Vancouver April 14-15. “I’ll be imploring our members to read the code and staple to the office wall. This document will be transformational for our industry,” said Sands. 

 

Luc Mougeot, president and CEO, Dispute Resolution Corporation, added, “Transparency, predictability, codifying change are very important. There are sub-elements to this. It’s ok to change an agreement, but all parties must agree to it. This will help to strengthen the relationship.”

 

Diane Brisebois, vice-chair of the board, Office of the Grocery Sector Code of Conduct, said, “Do not underestimate the importance of the office. We don’t have regulations, but we do have the ability to name and shame.” 

 

Karen Proud concluded, “Government will be one of our audiences. I’m counting on government to keep our feet to the fire. There was a lot of pressure from government and others to make this code happen.”

 

 

Source:  Learning Lounge, CPMA, April 10, 2025. 

 

 

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Submitted by Karen Davidson on 14 April 2025