What's a market study, and why is the Competition Bureau doing one on grocers?

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Critics argue that more competition in the sector would contribute to fairer prices for consumers.

The Bureau says it’s studying whether the government can help improve competition in the grocery sector, and looking at why food prices are so high.A market study is different from an investigation. During a market study, the Bureau examines a sector and looks for barriers to competition within it, such as regulations or policies.

For example, the Bureau launched an investigation in 2017 into allegations that suppliers and retailers were colluding to fix the prices of bread products.For the purposes of a market study, the Bureau says it does not have the power to force grocery retailers to turn over documents and data they use for pricing decisions. It will instead rely on publicly available information and provided information, and is planning to speak to retailers, government officials, experts and ordinary Canadians.

 

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