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Canada: Comp Bureau probing supermarkets over bread

 |  November 1, 2017

An investigation by the Competition Bureau into allegations of price fixing of packaged bread products comes as demand for the pantry staple faces pressure from health-conscious consumers and heightened competition from discount retailers.

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    John Williams, a partner at retail consulting company J.C. Williams Group, called the probe “shocking” given that Canada’s major retailers are governed by very-well defined codes of ethics.

    He also noted that the bread industry has been in “turmoil” as consumers look for healthier or artisan versions of the food staple, while increased competition from discount retailers also puts pressure on prices.

    “It now has almost become a fashion item… Huge aisles of white bread are slowly shrinking,” Williams said.

    The Competition Bureau said Tuesday, November 1, that the Ontario Superior Court in Ottawa granted search warrants “based on evidence that there are reasonable grounds to believe that certain individuals and companies have engaged in activities contrary to the Competition Act.”

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