Comment

Comment on 'Limited incentive' for Coles and Woolworths to compete vigorously on price, and margins have risen, ACCC finds

Ozzy@lemmy.news ⁨4⁩ ⁨weeks⁩ ago

‘$2.9 million over 3 years. This would be cash “to help suppliers stand up to the big supermarkets”, the government said.’

I am confused, the goverment thinks there is a problem with how big supermarkets treat producers Handing over 1 million a year solves the issue?

source

Sort:hotnew top

zero_gravitas@aussie.zone ⁨4⁩ ⁨weeks⁩ ago
This SMH live post provides a bit more information: smh.com.au/…/australia-news-live-accc-puts-most-p…

9.01am

Government pledges $2.9m to help suppliers stand up to supermarkets

By Josefine Ganko

As the ACCC supermarkets report reveals how the duopoly exerts power over consumers and suppliers, the government has announced $2.9 million in funding for produce industry associations to support education programs that will empower farmers to enforce their rights under the Food and Grocery Code.

Speaking at a press conference in Canberra, Treasurer Jim Chalmers says the funding was about “strengthening the arms” of the groups that represent farmers and producers. Treasurer Jim Chalmers, Assistant Minister for Competition Andrew Leigh and Finance Minister Katy Gallagher at a press conference in Canberra

Image

Treasurer Jim Chalmers, Assistant Minister for Competition Andrew Leigh and Finance Minister Katy Gallagher at a press conference in Canberra Credit: Alex Ellinghausen

“We want to make sure that when our supermarkets are negotiating with our farmers, that we can strengthen the arguments of the people who produce our food.”

Chalmers added that Labor’s move to make the code mandatory and to introduce bigger penalties would also benefit suppliers.

Assistant Minister for Competition Andrew Leigh added that there were particular concerns around fresh food producers being required to agree to annual contracts, but then being subjected to week-to-week bidding, with the notion they will face much lower prices at the markets if the big supermarkets don’t stock their produce.

“This new initiative does ensure that the suppliers are going into those negotiations better able to take on the big supermarkets,” Leigh said.

source
- TahliaNewland@mastodon.social ⁨4⁩ ⁨weeks⁩ ago
  @zero_gravitas @Ozzy good initiative
  source

Government pledges $2.9m to help suppliers stand up to supermarkets