New Zealand's Labour Party plans to force "immediate action" to increase competition in the country's grocery market, including required changes affecting Woolworths Group (ASX:WOW) and Foodstuffs.
In its "fairer grocery prices" plan unveiled Sunday ahead of New Zealand's general election on Nov. 7, the party said the two companies hold over 80% of the country's grocery sector and that they will be required to independently run their wholesale supply businesses and retail stores to support smaller shops and independent supermarkets.
"We note the policy proposals on supermarkets that have been announced recently," a Woolworths spokesperson toldon Monday. "We have worked constructively with the Government and the Commerce Commission for a number of years to implement significant, structural changes across our business to support greater competition. ... We remain committed to a competitive and sustainable grocery sector in New Zealand."