The Competition and Markets Authority (CMA) has told Amazon and its UK subsidiaries to now comply with the Groceries Supply Code of Practice, after it designated the retail giant as a grocery retailer.
The move is significant for the groceries sector and suppliers in particular, as it requires retailers to give an appropriate period of notice if they no longer want to use a supplier, plus to provide reasons for ending the contract.
“Today’s decision to designate Amazon helps to ensure a level playing field for companies active in the groceries sector as people’s buying habits evolve,” CMA Senior Director, Remedies, Business and Financial Analysis Adam Land said.
“These rules mean that the thousands of companies supplying Amazon with groceries are now protected from potential unfair business practices.”
Any Amazon suppliers of groceries in the UK that experience code-related issues can contact the Groceries Code Adjudicator confidentially, either directly or anonymously, via www.telltheGCA.co.uk.