ASDA Stores Ltd
Summary of GSCOP Annual Compliance Report for 2014
The Groceries (Supply Chain Practices) Market Investigation Order 2009 (let’s call it the “Order”) has been in force since 4 February 2010.
The Order implemented something called the Groceries Supply Code of Practice (let’s call that the “Code”) which applies to certain grocery retailers, including us – Asda – in our dealings with suppliers.
As part of our compliance with this Order, we’re required to submit an annual compliance report to the Competition and Markets Authority (“CMA”, previously known as the Office of Fair Trading) and the Groceries Code Adjudicator (let’s call it the “GCA”) to detail our compliance with the Code, any alleged breaches of the Code and any disputes with suppliers. We’re also required to post this notice on our website.
We are pleased to have delivered our fourth report, covering the period from 1 January 2014 to 31 December 2014, to the CMA and the Groceries Code Adjudicator on 30 April 2015.
During the reporting period, we took several steps to achieve compliance.
These included providing comprehensive training on the Code to all members of our buying team. That involved training for all new members of the buying team and annual refresher training via computer based learning. We also refreshed some of our procedures to reflect guidance issued by the GCA.
We received a small number of alleged breaches of the Code during the reporting period. We’re pleased to say that because, in our view, of the effective way that we work with suppliers to deal with their concerns, there were only seven instances of a supplier escalating their concern to Asda’s Code Compliance Officer directly. No disputes (as defined in Article 11(2) and (3) of the Order) however were formally raised or referred to arbitration (as set out in Article 11 of the Order).
Compliance with the Order and Code is really important to Asda, and we will continue to take steps to achieve compliance to the fullest degree.
If you would like to find out more about the Groceries Supply Code of Practice, you can do so at https://www.gov.uk/government/organisations/groceries-code-adjudicator.