Anonymity for shop complaints

FARMERS with complaints about the behaviour of supermarkets will be able to have their complaints heard anonymously, it has been confirmed as more details of how a new body set up to police the groceries industry will operate.

The soon to be created position of supermarket ombudsman will also be able to levy fines on anyone found to have breached a new code of conduct set up to govern the food sector.

These week the Government's Department of Business, Innovation and Skills began its consultation on how the recently announced supermarket ombudsman will operate.

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The Government decided to create the ombudsman following a two-year investigation into the UK food industry by the Competition Commission who concluded that a figure was needed to police the industry to ensure fairer prices for consumers and farmers. One of its findings was that the previous code of conduct in the industry prevented suppliers from openly making complaints for fear of retribution from large scale retailers, leading the Government to give suppliers anonymity when airing grievances.

Ministers are now asking whether the new supermarket ombudsman should be a separate stand-alone body or included within the existing set-up at the Office of Fair Trading.

Questions marks have also been raised as to how the body will be funded and the extent of its powers, as well as whether to focus attention purely on domestic small and medium-sized suppliers.

Consumer minister Kevin Brennan said: "Today we're pushing ahead with our plans for a new body that will help to ensure free and fair competition and that the grocery supply market continues to work in the long-term best interest of consumers.

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"This consultation will enable us to take an informed and responsible decision on the make-up of the new body that will strike the right balance between suppliers, the supermarkets and consumers."

The consultation will run for 12 weeks and people can make their views known by visiting www.berr.gov.uk.

The post of supermarket ombudsman has long been a contentious one within the groceries industry with large supermarkets saying that it will mean more red tape and higher food prices.

However, farming organisations, particularly the National Farmers' Union, campaigned strongly for the creation of the role and are now calling for whoever is appointed to be handed strong enforcement powers.

Farming Minister Jim Fitzpatrick said: "The new body will need to strike a balance between ensuring consumers can get access to high quality food and that farmers and food producers get a fair deal."

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