Katter demands supermarket reform not inquiries
KENNEDY MP, Bob Katter, has unleashed on the current and former government today after Four Corner’s last night exposed Woolworths and Coles’ anti-competitive, price predatory behaviours.
For more than a decade[i], Mr Katter has been advocating for and moving legislation in the House to actually achieve supermarket reform.
In 2013, he introduced the Reducing Supermarket Dominance Bill 2013[ii] which provided a limit on market share and to force supermarkets to divulge how much they are paying Australian farmers for produce.
“In the last 10-or-so years, our records show that we are the only ones that have moved legislation in the House of Representatives.
“We know that customers are being ripped off. We know that farmers are being ripped off. And we know that Government’s are doing nothing but having inquiry, after inquiry. Significant, substantial, and immediate reform is required,” Mr Katter said.
“There have been 15 inquiries into Woolworths and Coles and not a single thing has been done, not a single recommendation has been put into practice.
“We are sick of the “gunna -do’s” we need action now. Both of the major parties have had their chance in government to undertake significant reform, instead they appear to be addicted to the power and the money that the supermarkets arguably give them.
“It’s nothing but smoke and mirrors and hot air.”
In a recent submission to the Senate Select Committee on supermarket prices, Mr Katter made four key recommendations which would completely overhaul the conduct of major grocers. Mr Katter’s four recommendations include:
ANTI-PRICE GOUGING
This would include measures that compel supermarket directors and executives to provide robust and frank information to oversight bodies and mechanisms that allow consumers to express concerns about pricing without having to demonstrate a technical breach of the law.
DIVESTITURE POWERS
This would restrict market share to 23 per cent for corporations in the grocery sector and give powers to the Australian Government to force businesses that hold a near-monopoly or duopoly control over a market to sell down assets, as a means of ensuring concentrated markets remain competitive.
TARIFFS ON IMPORTS
By recognising the economic, social and environmental impacts of imported products, provide a blanket customs tariff of 5 per cent on all imports.
MAXIMUM 100 PER CENT MARKUP
This would define and cap the charges that a supermarket can put on producers or suppliers and a introduce a maximum markup of 100 per cent that supermarkets can charge on all produce.
“Australia once had 16,000 dairy farmers, it now has 6000. And where the country once had 240,000 farmers in total, there are just 83,000. Whose fault is that?
“Who is the government throughout those years that introduced free markets. Free markets meant Woolworths and Coles had free fire sales to push us down through the floor, they could pay us (farmers) anything they wanted.
“Free market means only one thing….the supermarket giants are “free” to “market-it” up to whatever price they want!”
– ENDS –
[1] https://www.abc.net.au/local/stories/2013/06/18/3784101.htm
[i]
https://www.aph.gov.au/Parliamentary_Business/Bills_Legislation/Bills_Search_Results/Result?bId=r5097#:~:text=The%20bill%3A%20provides%20for%20a,limits%20on%20market%20share%20and
[ii] https://www.abc.net.au/local/stories/2013/06/18/3784101.htm
