As supermarkets battle panic buying and staffing demands, local greengrocers and butchers have to keep their customer doors shut and workers in limbo.
Retail NZ chief executive Greg Harford said some of this didn't make a lot of sense, as places like greengrocers could take pressure off large supermarkets.
Right now those businesses cannot serve customers on site, but uncooked food can be sold online and delivered.
"I think we would certainly think greengrocers, butchers, bakers should be allowed to open. They have been in other jurisdictions around the world."
He said there hadn't been a compelling reason why they should not operate, as long as it's in a safe way.
A spokesperson for MBIE told the Herald it was about reducing the risk of further transmission in the community and keeping only the most essential businesses open.
"Not having restrictions on businesses operating during alert level 4 unnecessarily increases the odds of transmission with workers moving in an out of their home bubbles, connecting bubbles and therefore increasing the potential chain of infection."
Halal Meat Shop's Maher Abboud told the Herald their sales had taken at least a 50 per cent hit since going into lockdown.
While they're still doing deliveries, he said language barriers over the phone made operating even harder.
Abboud said it wasn't fair they could not operate like supermarkets and they would follow the level 4 rules.
Also he said Muslims needed Halal butchers.
Last night the Government updated guidance about what essential non-food consumer products can be bought through online delivery.
Harford said it was really good there was now clarity for retailers, as it had been a cause of frustration.
Some things, he said, were still open for interpretation.
"People are thinking that they're going to get through it, is really the sense I get. You know, we've been here before we've done that."