The Australian Competition and Consumer Commission is running a lengthy investigation into alleged abuses of market power and unconscionable conduct by the major retailers. About 50 suppliers gave evidence, after being promised confidentiality. This means the ACCC has, for the first time, detailed information concerning allegations of exploitation and manipulation by the big players.
ACCC chairman Rod Sims has has given conditional support to a code of conduct enforceable under the Competition and Consumer Act and for financial penalties if the code is breached. But the major retailers and manufacturers, which are working on their own voluntary code of conduct, argue that further regulation is not needed.
What do you think. Is greater regulation of the industry required?
Definitely more controls needed in facet to ensure producers and consumers are protected and informed.
Thanks Beth
I think the top two supermarkets have definitely been allowed to get away with a lot all in the name of money. Suppliers and consumers are the ones that are left worse off.
Agreed, someone needs to reel them back in.
I definitely think so. As consumers it seems as though we’re left in the dark about exactly how suppliers are being treated in the supermarket game and it’s only until you hear the sad stories about dairy farmers, etc basically getting screwed by the supermarket giants that it shows the way we’re treating our own Aussie suppliers, it ain’t cool.
Agreed. Very uncool. I hope the ACCC does something about it … this time. A few years ago it let the supermarkets off scott free.
Definitely!!! I’m so glad that most of what we consume in our family home comes from our farm. We do not ‘rely’ on the major chain supermarkets for our everyday living as most people do… Unfortunatley this gives the major chain supermarkets the manopoly on the market hence allowing them the power to make their own rules and practically ‘rape’ the farmers…
You’re in an enviable position to be able to source most of your food from your farm, Jodie – though i appreciate it must be hard work and unpredictable! Thanks for sharing your thoughts.
FS, thank you again for makign us think about the issues surrounding our food consumption, to make us more questioning or at least more thoughtful consumers. i look forward to reading more about his, because it sounds like the beans have been spilled to the ACCC.
Thanks for that and i hope the discussion raises some points that make us all think a little harder about our food, and where it comes from.
My major objection is the deceptiveness in the advertising. As an example, my local paper this week had an article about a local farmer who supplies semi trailer loads of cucumbers to Coles. In the picture, you can see they’re all greenhouse grown, hydroponically, under lights, no soil anywhere in evidence. Yet the picture on the shelf in the local supermarket shows a field in the sunshine. It will be difficult to regulate this kind of lying by implication, without effective competition to expose it, consumers are unable to exercise any kind of consumer power.
A good point Linda and something that frustrates me, too. Individual suppliers can be guilty of that too … those that advertise their so-called free-range eggs with pictures of happy chooks pecking about in green fields spring to mind. But you’re right … this kind of lying is difficult to regulate. I wonder if it would be overcome if there was more competition in the sector …