Vested Interests Strangle New Zealand's Economy

New Zealand's economy is being controlled by vested interests, stifling democracy and progress. The country's grocery market is dominated by two companies, Foodstuffs and Woolworths, which are resisting Labour's proposal to break them up.

The duopoly has been criticized for driving up food prices in New Zealand, with consumers spending a higher share of their income on groceries compared to other countries. Max Rashbrooke points out that the country's lobbying and political disclosure regimes need reform to tackle this issue effectively.

National's plan to break up Foodstuffs has been met with opposition from big donors and vested interests, including owners of Pak n' Save and New World stores. The Government is also planning to overhaul the Official Information Act, which could limit access to information and transparency in decision-making.