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Canada's grocery code of conduct fully in force on Jan. 1
Summary
Canada's voluntary grocery code takes full effect Jan. 1, enabling formal complaints, dispute resolution and dues collection; annual reports begin in 2026.
Content
The voluntary grocery code of conduct for grocers, suppliers, wholesalers and primary producers becomes fully operational on Jan. 1. The framework—governed by the Office of the Grocery Sector Code of Conduct—adds a dispute resolution mechanism, allows formal complaints and brings in membership dues collection. The office will begin producing an annual report on sector trends and systemic issues starting in 2026.
What changes on Jan. 1
Grocers, suppliers and other members can now submit formal complaints under the code and seek adjudication through the office's dispute resolution process. The office will also begin collecting annual membership dues and will enforce the code's trade rule provisions and governance model.
Background
The industry committee that created the code responded to disputes over fees charged to suppliers by large grocery retailers, an issue highlighted in 2020. Years of elevated food inflation after the COVID‑19 pandemic increased public scrutiny of the sector, and adoption of the code became a political issue. The federal government signalled it could make the code mandatory if major players did not sign on; Canada's five largest grocers—Empire, Loblaw, Metro, Walmart Canada and Costco Canada—have formally registered.
What the code does not do
The code is intended to improve transparency, fairness and predictability in commercial dealings, but it does not regulate retail food prices. It does not control shelf placement or prevent companies from negotiating commercial terms with suppliers.
Next steps and reporting
Beginning in 2026 the office will publish an annual report highlighting sector trends, systemic challenges and proposed improvements. The office will also handle adjudication and any consequences for proven violations of the code.
Summary and suggestions
Stakeholders may wish to review the code's provisions, note the procedures for submitting complaints and prepare for annual membership requirements. Suppliers and grocers could monitor the office's forthcoming annual reports for guidance on systemic issues and potential changes to sector practice.
