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Digital labels plan aims to boost supermarket competition, but critics warn of transparency risks

A trial to let retailers use QR codes and digital labels on imported food. 

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Summarised by Centrist

The government says it wants to make it easier for new supermarket chains to enter New Zealand, proposing a trial that would let retailers use QR codes and digital labels instead of reprinting physical labels on imported food. 

Ministers Nicola Willis and Andrew Hoggard argue high relabelling costs are blocking competition in a grocery market dominated by a duopoly.

Willis says the current system forces would-be competitors to “go to the expense of re-labelling products” even when the food is already compliant overseas. 

Under the proposal, allergen, ingredient and nutrition information could be shown via shelf QR codes, in-store displays, websites or apps. The aim is to cut red tape, reduce entry costs and give shoppers more choice.

Hoggard describes physical labelling as a “costly barrier” and says digital flexibility would “fix what matters” while keeping food “safe and suitable”. Products would come from trusted trading partners and still need to meet Food Act and trans-Tasman standards.

The move comes as Australia and New Zealand begin broader work on digital labelling.

But consumer groups are pushing back. Advocacy organisation GE Honesty says shifting essential details behind QR codes risks making food less transparent, especially around things like gene-edited ingredients. Critics note that US courts have previously struck down QR-only labelling as inaccessible and confusing for shoppers.

Public consultation closes 19 December. 

Read more over at The Daily Telegraph NZ and The Beehive

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