Update

GCA 2024 Groceries Sector Survey results

26 July 2024

Topics

Supply chain fairness

The Groceries Code Adjudicator published the results of their annual survey which revealed that fewer grocery suppliers are experiencing issues, however Amazon’s compliance to the Groceries Supply Code of Practice (the Code) is still in question.

Key findings can be found below:

  • The average compliance score across all 14 Retailers in 2024 was 91% compared to 92% in 2023. (Excluding Amazon, average compliance was 94% which was unchanged from the non-Amazon score in 2023.)
  • The number of suppliers which requested at least one CPI (cost price increase) from a Retailer over the previous 12 months fell from 91% to 67% partially as a response to the fall in food inflation.
  • Only 5% of suppliers highlighted concerns about how a cost price decrease (CPD) had been requested by a retailer.
  • Amazon’s perceived Code compliance score fell from 59% to 47% and they have be told by the GCA to take comprehensive action to address Code non-compliance
  • Mark White, the Groceries Code Adjudicator, encouraged suppliers to contact him directly confidentially to inform him of any issues with Amazon while the GCA is monitoring Amazon’s movements.
  • Most common issues identified by suppliers in the past 12 months as categorised by the Code were:
    • A delay in payments
    • No compensation for forecasting errors
    • Obligation to contribute to marketing costs
  • The GCA will work with each of the 14 Retailers on their plans to address the issues raised by their suppliers in the survey. 

View the full survey results

Learn more about the Groceries Supply Code of Practice and the GCA

If you have any Code-related concerns please contact Tanya who will, under the strictest confidentially, raise them with the GCA.