Woolworths says market competition has grown - contradicting a new report

The Commerce Commission's first annual report on grocery - shows competition has not meaningfully improved.

It also notes increasing margins and high profitability

Woolworths New Zealand Managing Director, Spencer Sonn, says many independents have grown.

He says Costco's entered the market, Chemist Warehouse has expanded - and The Warehouse's increased its grocery category.

Foodstuffs says it remains committed to a competitive and fair sector.