CCPC commences Grocery Regulations inspections

September 19, 2018

On 30 April 2016, the Consumer Protection Act 2007 (Grocery Goods Undertakings) Regulations 2016, known as the Grocery Goods Regulations, took effect. The Grocery Goods Regulations were introduced to bring more transparency and fairness into the trade relationships between grocery goods suppliers and wholesalers and retailers operating in Ireland.

The Regulations only apply to those retailers and wholesalers of food and drink in Ireland who have, or are part of a wider group that has, a worldwide turnover in excess of €50 million. If your business has a turnover of this scale, you are considered a Relevant Grocery Goods Undertaking (RGGU) for the purposes of the Regulations.

The Competition and Consumer Protection Commission (CCPC) is responsible for monitoring compliance with these Regulations. Specific requirements are placed on RGGUs, such as contracts having to be recorded in writing, expressed in clear understandable language and signed by both parties involved in the contract. The Regulations also require that a RGGU retain signed copies of its contracts for six years after the end of the financial year to which the contract relates. The CCPC has commenced inspections of RGGUs to monitor compliance with these Regulations.

It is important that retailers and wholesalers which fall within the remit of the Regulations are aware of their obligations and take steps to ensure that they are in compliance. The onus is on wholesalers and retailers of grocery goods to assess whether the regulations apply to their businesses. If you are a grocery business, you can find more information about the Regulations here. Suppliers of grocery goods are also encouraged to familiarise themselves with the Regulations and engage with wholesalers/retailers that they supply in compliance with the requirements arising from the Regulations.

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