Australian supermarket chain Franklins has posted its maiden first-half profit since being acquired by prominent South African retailer Pick ‘n Pay back in 2001. Since the takeover the company has struggled to make inroads in the Australian grocery sector but appears to be finding its feet after posting its first full-year profit earlier this year. Franklins now operates 83 supermarkets throughout the state of New South Wales, seven of which are franchise stores. Three new corporate stores... ...Read more »

The GROCERYchoice website continues to come under attack, with independent supermarkets, the Federal Opposition and leading retail industry bodies all indicating a lack of support for the scheme. The site, which highlights to consumers the cost of certain baskets of goods at different grocery chains in their area, has been criticised as a “stunt”, “unfair” and too “broad” by some sections, but the Federal Government continues to defend the website. As a host of... ...Read more »

The ACCC report into the state of competition in the grocery sector was released to mixed reactions yesterday. Federal Government “I believe that our action plan, combined with the broader reforms that are already in train to further strengthen competition policy, such as the amendments to the misuse of market power provision and the criminalisation of serious cartel conduct, will ensure that the grocery market remains competitive,” the Assistant Treasurer, Chris Bowen, said. “The introduction... ...Read more »

The Australian Competition and Consumer Commission yesterday handed their 642-page report into the state of competition in the grocery industry to the Federal Government and it has been suggested that a “competition test” may be among the recommendations. Changes already mooted have included unit pricing, which appears certain, changes to restrict “creeping acquisitions”, a price monitoring system and the introduction of an industry ombudsman. Alterations to zoning restrictions... ...Read more »

The ACCC Grocery Price Inquiry held it’s last planned public hearing in Melbourne yesterday, with Metcash the final company to be put under the spotlight. Metcash, Australia’s largest wholesaler, was questioned on a range of issues, which have already been highlighted throughout the preceding months. The ACCC was particularly interested in the strength of price competition provided by independent grocers to the major supermarkets. ACCC Chairman, Graeme Samuel, questioned Metcash CEO,... ...Read more »