A lovely tease yesterday from the government, aimed at those of us still hurting at the cost of putting food in the supermarket trolley.  

The government wants more competition in the grocery sector.  

It was a nicely timed message – despite all the big picture talk of foreign investment, a new economic ministry, and a focus on growth, growth, growth, the government has not forgotten that most Kiwis are dealing with simpler day to day challenges, like affording groceries.  

But the announcement by Finance and Economic Growth Minister Nicola Willis at the University of Waikato Economics Forum in Hamilton was very much connected to the Government’s economic growth plan.  

And look that’s not a bad thing. Got to love a government with focus, or at least messaging focus. The issue is – there isn’t really a plan here at all.  

The Government's has said it’s receptive to cracking down on pricing and helping new entrants access land and properties. Willis said that if a new competitor presented a proposal to her she would be willing to “do a deal”, and give them the VIP treatment through a bespoke arrangement.  

There was a mention of existing proposals – that Willis knew of companies possibly interested, but for commercial reasons she wouldn’t disclose who they were. 

Who knows how serious these contenders are? Do they have a well considered proposal, or was it a conversation in a Koru lounge? It all sounds quite hypothetical. 

Those with knowledge of the grocery industry will tell you that the only way a third party could make a go of it here, they would need roughly 140 outlets, set up a billion-dollar supply chain, and would require the big players to be broken up for any competition on price or sustainability. It’s a lot. 

Willis says she’s up for the fight, but if forced divestment of some properties by incumbents is needed it will be some scrap - one the previous government did not push ahead with.  

So I'm not entirely sure what this tease has accomplished other than some friendly headlines, a gentle poke at Foodstuffs and Woolworths, and to continue the Kiwi distant dream of lower prices if a third party entered the New Zealand supermarket scene. 

So, the great supermarket talkathon continues.... 

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