AFGC finalising legislation to tackle uncompetitive behaviour of Australian supermarkets

Posted by AFN Staff Writers on 19th March 2012

Australian Food & Grocery Council’s (AFGC) push for a Supermarket Ombudsman and a Fair Trading Code of Conduct to be established in Australia is gaining momentum.

The AFGC has long supported the introduction of regulatory mechanisms on the supermarket industry. It has previously said that there is an “urgent need” for an ombudsman in Australia, especially during the recent supermarket price wars.

This week, the AFGC announced that it is finalising proposed draft legislation for the establishment of a Supermarket Ombudsman. It is also working with international law firm Baker & McKenzie to ensure the draft legislation meets the needs of industry and other organisations in the supply chain.

The AFGC has previously said that the Ombudsman would promote transparency in pricing and fairness along the supply chain and provide recourse for those participants in the food and grocery sector who lack market power, particularly small business, small-to-medium food manufacturers and consumers.

The AFGC said this week that it will consult all stakeholders on the draft legislation.