The Australian Competition & Consumer Commission (ACCC) has initiated a comprehensive investigation into the pricing and competition practices of the country’s supermarket sector, aiming to shed light on concerns related to pricing practices, particularly focusing on the relationship between wholesale, farmgate, and retail prices.
This announcement follows a parliamentary inquiry launched in early December, prompted by allegations of price-gouging and profiteering against major supermarket chains, Coles and Woolworths, brought forward by the Greens, one of Australia’s prominent political parties.
The ACCC, acting as the consumer and competition watchdog, has been tasked by the government with conducting a year-long inquiry to scrutinize the supermarket sector thoroughly. The inquiry will encompass an examination of pricing practices and competition dynamics within the sector, taking into account the changes that have occurred since the ACCC’s last inquiry in 2008.
Read more: The ACCC’s Ongoing Digital Platforms Services Inquiry: Social Media Services
ACCC Chair, Gina Cass-Gottlieb, emphasized the significance of addressing the concerns raised by consumers and industry participants, stating, “We know grocery prices have become a major concern for the millions of Australians experiencing cost-of-living pressures. When it comes to fresh produce, we understand that many farmers are concerned about the weak correlation between the price they receive for their produce and the price consumers pay at the checkout.”
The ACCC’s inquiry will not only focus on the pricing practices but will also explore the broader landscape of competition within the supermarket sector. With a specific focus on how the sector has evolved over the past decade, the investigation aims to identify any anti-competitive behaviors or market distortions that may impact pricing structures and consumer choices.
This move by the ACCC reflects the government’s commitment to ensuring fair competition and consumer protection within the Australian retail industry. The inquiry will involve extensive consultations with industry stakeholders, including farmers, suppliers, and consumer advocacy groups, to gather a comprehensive understanding of the challenges faced by various players in the supply chain.
Source: Just Food
Featured News
Italy’s Antitrust Authority Imposes Heavy Fines on Car Rental Giants
May 9, 2024 by
CPI
Florida Firefighters’ Pension Fund Settles Lawsuit Against Carl Icahn for $2.2 Million
May 9, 2024 by
CPI
Hermes Fights Back Against ‘Far-Fetched’ Birkin Bag Lawsuit
May 9, 2024 by
CPI
European Music Streaming Firms Rally Against Apple’s Proposed Remedies
May 9, 2024 by
CPI
Google and South Carolina Clash Over State Records Demand
May 8, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Ecosystems
May 9, 2024 by
CPI
Mapping Antitrust onto Digital Ecosystems
May 9, 2024 by
CPI
Ecosystems and Competition Law: A Law and Political Economy Approach
May 9, 2024 by
CPI
Ecosystem Theories of Harm: What is Beyond the Buzzword?
May 9, 2024 by
CPI
Open Ecosystems: Benefits, Challenges, and Implications for Antitrust
May 9, 2024 by
CPI