The Greens will spearhead a select Senate inquiry into the price gouging of major supermarkets amid Australia’s cost of living crisis.
The inquiry will scrutinise the impact of market concentration on food prices and the pattern of pricing strategies employed by the supermarket duopoly.
It will also assess the rise in essential item prices, the validity of discounts offered, and the inflation of profits during economic hardship.
“Coles and Woolworths are making billions in profits by price gouging in a cost of living crisis,” Greens Economic Justice Spokesperson Senator Nick McKim said.
“For too long the big supermarkets have had too much market power. This allows them to dictate prices and terms that are hitting people hard.”
“It’s time to smash the duopoly.”
“Coles and Woolworths are making billions in profits because they feel that they can overcharge people without repercussions. It needs to end.”
“We want the CEOs to justify their decisions in a public hearing.”
“This inquiry is a critical step toward dismantling the market concentration that’s led to unfair pricing and stifled competition.”
“We’ll find a way to dismantle their power and bring grocery prices down.”
“It is about ensuring that Australians can afford to eat without being exploited, and that suppliers are treated fairly.”
Terms of reference:
The price setting practices and market power of major supermarkets, with particular reference to:
- The effect of market concentration and the exercise of corporate power on the price of food and groceries;
- The pattern of price setting between the two major supermarket chains;
- Rising supermarket profits and the large increase in price of essential items;
- The prevalence of opportunistic pricing, price mark-ups and discounts that aren’t discounts;
- The contribution of home brand products to the concentration of corporate power;
- The use of technology and automation to extract cost-savings from consumers and employees;
- Improvements to the regulatory framework to deliver lower prices for food and groceries;
- Frameworks to protect suppliers when interacting with the major supermarkets, and;
- Any other related matters.