Supermarket giant Woolworths this week announced plans to trial buying milk directly from dairy farmers in the Manning Valley in New South Wales. Woolworths says the trial of a direct relationship between the supermarket and dairy farmers is “seeking to give dairy farmers a better deal for their milk, end-to-end transparency from shed to shelf, the certainty of a longer term contract and a closer relationship to their consumers”. Woolworths wants to stock milk sourced directly from the Manning... ...Read more »

Supermarket giant Coles has surprised its rival Woolworths by secretly buying one of Woolworths’ most profitable Sydney stores. Woolworths confirmed that Coles recently bought its store in Neutral Bay, which is on Sydney’s lower North Shore. A Woolworths spokesperson said the purchase by Coles had not been anticipated. According to internal reports obtained by Fairfax Media journalists, Coles paid $40 million for the centre that the Woolworths store is part of, concealing its involvement in the... ...Read more »

Australian supermarkets have been responding to growing consumer activism in favour of ‘sustainable’ fish and ‘free range’ eggs. The German-owned Australian ALDI supermarket group has announced that it will work with the Sustainable Fisheries Partnership (SFP) to evaluate the sustainability of its seafood range in Australia. ALDI  says the partnership will enable it to develop programs and strategies to ensure the sustainability of the supply chain and meet its commitment to ‘source sustainably... ...Read more »

The Australian Federal Government could abandon plans for a voluntary code of conduct in favour of a mandatory code, enforceable by the Australian Competition and Consumer Commission (ACCC). According to various sources, the Australian Government is considering a mandatory code if negotiations for a voluntary code fail. If a mandatory code of conduct is developed, it could be similar to the UK’s Grocery Supply Code of Practice, which is enforced by a supermarket Ombudsman. Negotiations towards... ...Read more »

Poultry manufacturer Luv-a-Duck Pty Ltd is being taken to the Federal Court of Australia by the Australian Competition and Consumer Commission (ACCC). The ACCC says the company’s claims that its ducks are ‘range reared and grain fed’ are false, misleading and deceptive. Luv-a-Duck claims on its packaging, website and brochures that its birds are ‘grown and grain fed in the spacious Victorian Wimmera Wheatlands’. But the ACCC alleges this is not true and that the ducks do not “have substantial... ...Read more »

Supermarket giant Woolworths is facing heated criticism from its suppliers after a recent newspaper report revealed the existence of a dossier produced by the Company. The dossier reportedly claims that increased competition from Aldi was driving Woolworths to expand its private label product range. The claims in the Woolworths dossier have added fuel to an already-heated debate about how the major food retailers deal with their suppliers. Both Woolworths and Coles are currently being investigated... ...Read more »

The ACCC has launched an investigation into Coles and Woolworths over possible misuse of their market power and indications of “unconscionable conduct” in relation to deals with their suppliers. While both supermarket groups are maintaining their innocence, the ACCC is also hinting it will be using its mandatory information-gathering powers to obtain more information. The grocery giants have been accused of discriminating against supplier brands for the supermarkets’ own labels, and adding... ...Read more »

The Australian Competition and Consumer Commission (ACCC) has raised concern over Heinz’s proposed acquisition of fellow wet and dry infant food company, Rafferty’s Garden. The Australian baby food sector is currently dominated by Heinz at 39 per cent volume of the market. Rafferty’s Garden makes up 16 per cent of the Australian baby food market, taking Heinz’s potential share to 55 per cent if the acquisition is approved. ACCC Chairman Rod Sims said that combining two large Australian baby... ...Read more »

After many years of Australian customers requesting further ALDI expansion, the discount grocery chain has made the decision to build stores in both Western Australia and South Australia. A previous Australian Food News story about ALDI expansion in Queensland led to immediate calls and enquiries from readers about their desire to see ALDI open stores beyond the Australian Eastern seaboard. Since 2001, ALDI Australia has been expanding across the Eastern seaboard of Australia and Group Managing Director,... ...Read more »

Following the gazettal of new Country of Origin labelling requirements for unpackaged meat this month and the October 2012 launch of the Australian Competition and Consumer Commission’s (ACCC) guide to interpreting country-of-origin claims, consumer group CHOICE has proposed further reforms “to simplify origin claims”. Angela McDougall, CHOICE’s food policy advisor, claims that the current origin labelling provisions are still “confusing with a proliferation of vague and muddy claims”. Under... ...Read more »