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Foodstuffs South Island faces court action over Pak’nSave pricing rules
['Rebecca Stevenson']
BusinessDesk | NZ breaking news and commentary on business, NZX and politics
The Commerce Commission alleges Foodstuffs South Island curbed discount competition at some Pak'nSave supermarkets.
(Image: NZME)The Commerce Commission is taking court action against Foodstuffs South Island, alleging the supermarket co-operative prevented independently owned Pak’nSave stores from offering some discounts, reducing competition and potentially costing consumers lower prices.
The watchdog said it will file civil proceedings alleging Foodstuffs South Island implemented and enforced rules that restricted franchisees from discounting certain products without prior approval.
It claimed the conduct amounted to resale price maintenance, which is...