Farm Gate Pricing Bill seeks transparency from Australian supermarkets
A new private member’s Bill to be tabled this week to Australian Parliament would, if passed, require Australia’s major supermarkets to reveal what percentage of the retail price of their fresh produce goes to the farmers.
The Farm Gate Pricing Bill, drafted by Independent Senator Nick Xenophon and House of Representatives Independent Bob Katter, would need the support of a major party, in order to be passed.
Senator Xenophon’s Media Advisor, Rohan Wenn told Australian Food News, “The Bill would allow consumers to see the price the supermarket is charging in contrast with the amount the primary producer is receiving.
“Independent grocers would be exempt but major supermarkets would be required to publish the farm gate prices at point of sale and also on their websites.
“Farmers have previously expressed concern that there is a huge gap between what the supermarkets charge and how much the farmers are paid for fresh produce.”
A spokesperson for Woolworths told Australian Food News that farm gate pricing was looked at extensively by the Australian Competition and Consumer Commission (ACCC) in 2008 in an inquiry into grocery pricing and it was considered to be “not a significant problem”.
Supermarket chain Coles was unavailable for comment today.
Ingrid Just, spokesperson for consumer watchdog Choice said, “We think it is better if the position of a supermarket ombudsman is created to become the independent arbitrator. There is only so much information that consumers can take in when juggling kids, crowds, and shopping lists at supermarkets.
“An ombudsman would allow for a dedicated focus for people with grievances to take them to. The information would be better in the hands of a regulator who could follow through on what needs to be done,” Miss Just added. “Meanwhile, it is also up to the ACCC to see if there is a misuse of market power.”
The ACCC is too busy looking after the interest of the big boys and the foreign interests than to be interested in pursuing the big retailers. Local businesses are being driven out of business as Australian products are replaced by foreign owned and imported goods. The only jobs left will be retailers and public servants.
Miss “JUST’…….what a great name for a Choice spokesperson….Deed Poll???????
We need to know the mark up Miss Just and we should so we can then decide if we buy over priced stuff from Westfarmers or just leave it on the shelf for them to try and send back to the producer saying THEY can’t sell it and will not, therefore pay for it.
They will get around this by sourcing dodgy food off shore and saying they produce it!
Then they can communicate with themselves through the ACCC if someone
chooses to complain about the mark-up they are asking for their own produce.
Forget about what the ACCC say, they are mere puppets on a string. The simple facts are, the supermarket chains tell the producer what they will pay – they already knowing the producers bank balance, and exact costs of production, leaving the producer with a take it or leave stance. A single whimper from a supplier to the media will bring on the harshest penalties imaginable.
Adding to this binding regime is the penalty structure, where deductions for damaged goods apply whether damage occurs or not, special in-store promotions where further price discounts have to be worn by the supplier.
It goes on and on, but the bottom line is, the big two chains with co-operation from the ACCC have colonised the food chain. Indeed, they own it.