NDP MP calls for Competition Bureau investigation after Loblaw reduces discounts on last-day sale items

An NDP MP is calling on Canada's Competition Bureau to investigate 'possible anti-competitive practices' after Loblaw's move to end its 50 per cent discounts on last-day sale items.

An NDP MP is calling on Canada's Competition Bureau to investigate "possible anti-competitive practices" after Loblaw's move to end its 50 per cent discounts on last-day sale items.

Earlier this week, Loblaw confirmed in an email to Sylvain Charlebois, director of Dalhousie University's Agri-food Analytics Lab, that the company is "moving toward a more predictable and consistent offering, including more consistency with our competitors" and decreasing the discount on near-expiring items to 30 per cent in its stores.

However, B.C. MP Alistair MacGregor says this move and the statement from the grocery giant "raises suspicions of possible collusion."

"I wish to draw attention to a concerning aspect highlighted in Loblaw's statement, indicating that this shift in pricing strategy is in alignment with other major grocery retailers," McGregor said in his letter to Competition Commissioner Matthew Boswell on Tuesday. "Such coordination raises suspicions of possible collusion or anti-competitive business practices within the Canadian grocery retail sector."

Last October, Industry Minister François-Philippe Champagne met with the leaders of the five largest grocery chains in Canada and said the companies have agreed to "stabilize food prices."

MacGregor said Loblaw's reductions to last-day discounts to match its competitors "raise questions about the industry's commitment to fostering fair and competitive practices."

MacGregor called the move from Loblaw "particularly troubling" given the high rate of food price inflation in recent years despite increasing profits.