Focus Live: PM Ardern and David Clark on supermarket regulatory measures.
Video / NZ Herald
While Britons are staring down the barrel of an 18 per cent inflation rate, when it comes to certain types of cheese they've still got one over Kiwis.
An eagle-eyed camembert consumer has alerted the Herald to a wheel of the creamy cow's milk cheese costing more than five times as much in New Zealand compared to the UK.
The cheese in question is Le Rustique Camembert, made in Normandy.
A 250g wheel goes for $22.99 at New World as of Saturday afternoon, or $91.96/kg.
British grocery giant Tesco is offering the same 250g portion for just £2.15, equivalent to $4.06, or $16.22/kg.
Supermarkets have found themselves in the Government's sights this year amid concerns of excess profits and a lack of competition.
This 250g block of Le Rustique pasteurised camembert retails for the equivalent of $4.06 in the UK but shoppers in New Zealand can expect to pay $22.99. Photo / Supplied
A Commerce Commission inquiry, released in March, found the two big supermarket chains, Woolworths and Foodstuffs, were using their dominant market position to push excess risks, costs and uncertainty on to suppliers.
Last month, Commerce and Consumer Affairs Minister David Clark announced how the Government planned to improve competition in the grocery sector by helping smaller retailers and new market entrants source and sell a wider range of groceries at better prices.
Clark said the "existing duopoly" would be required to negotiate wholesale offerings on commercial terms.
"However if those prices are not what we would expect in a competitive wholesale market the new Grocery Commissioner will be able to impose additional regulation to force fairer prices," he said.
"Ultimately if these interventions don't deliver a fair deal, new regulations can be utilised to require the major retailers to provide wholesale supply at certain terms, including price and range."
Inflation in New Zealand was 7.3 per cent for the three months to June, the highest level since 1990.
ASB and the Institute of Economic Research have said they believe inflation has peaked but will remain high for the next two years.
In the UK, Citigroup predicts inflation will soar to levels above 18 per cent next, powered by surging gas prices, the Financial Times has reported.
