Grocery code could spur investment, stabilize prices: Kraft Heinz Canada president

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A grocery code of conduct could stabilize food prices in the future and encourage more investment in the Canadian food industry, according to the president of Kraft Heinz Canada.

"It creates a better trade environment for both the supplier and the retailer, but I think at the end of the day, the consumer is winning," said Simon Laroche in an interview with The Canadian Press.

Canada might be still finalizing its code, but Laroche has already seen what it could do for a country with a concentrated grocery market. Before moving into his current role last year, Laroche spent several years leading Kraft Heinz's business in Australia, New Zealand, Japan and Korea. Australia has had a code of conduct since 2015.

At its peak, grocery inflation in Canada was 11.4 per cent; since May 2020, food prices have risen by more than 22 per cent. The company has also learned a lot about how to mitigate supply chain disruptions after the empty shelves and shortages of the early months of the pandemic, and has made some changes as a result.

The fact that Kraft Heinz produces a lot of its products domestically has helped avoid further supply chain disruptions, he added. Half of what the company sells in Canada comes from the Kraft Heinz factory in Montreal, and the company recently renewed its production contract in Leamington, Ont. until the end of 2027.Five years later, the company announced it would return to Canada thanks to a joint investment with the Quebec government's business expansion program.

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Grocery code of conduct could spur investment, stabilize food prices, president of Kraft Heinz Canada saysSimon Laroche said he’s happy to hear the grocers are on board with the code, and believes it will be a positive thing for consumers and for the industry
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Grocery code could spur investment, stabilize prices: Kraft Heinz Canada presidentA grocery code of conduct could stabilize food prices in the future and encourage more investment in the Canadian food industry, according to the president of Kraft Heinz Canada.
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Grocery code could spur investment, stabilize prices: Kraft Heinz Canada presidentTORONTO — A grocery code of conduct could stabilize food prices in the future and encourage more investment in the Canadian food industry, according to the president of Kraft Heinz Canada.
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