Morrisons has presented its case to the Competition Commission inquiry into whether the UK's top supermarkets are too powerful.
A document drafted by former chief executive Bob Stott defends the Bradford-based grocer against claims that it, along with Tesco, Asda and Sainsbury's, is stifling trade in the UK retail sector.
The inquiry is to pay particular attention to claims that companies are abusing their power by pricing products below cost and buying up land banks - sites supermarkets own to prevent rivals building stores there.
In Morrisons' document, Mr Stott says: "We do not encourage below-cost selling - we would prefer not to have to do so but competition dictates necessity. We do not have a land bank because we buy land to build a grocery store and, as soon as we have all the necessary legals in place, we get on and build the store in order to commence earning a return on our investment."
He says that the last time the Competition Commission conducted a review, in 2003, it reported the market was divided between supermarkets for "big shops" and smaller convenience stores for "top-up" shops.
And he contends the growth in non-food items offered by supermarkets, along with the growth of supermarket-owned convenience stores has "blurred" this marketplace: "We do not operate convenience stores, given our mission is to be the best grocer in town' and as such we need a minimum of 15,000 sq ft of sales area."
He says Morrisons is primarily a grocer and does not offer wide ranges of non-food items like its competitors.
He also highlights Morrisons' policy of keeping prices the same across the country, unlike competitors which, he said, varied their prices from store to store.
The Competition Commission is keen to speak to shopkeepers, suppliers or farmers who feel affected by the behaviour of supermarkets. It can be contacted at groceries@cc.gsi.gov.uk or by post at Inquiry Secretary, Competition Commission, Victoria House, Southampton Row, London, WC1B 4AD.
It is expected to publish its initial findings in December.
e-mail: mark.casci@bradford.newsquest.co.uk
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