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Media Release: ACCC confirms voluntary Grocery Code of Conduct isn’t working

Media Release
Nick McKim 24 Sep 2015

The ACCC’s confirmation of the inadequacy of the voluntary Grocery Code of Conduct (GCC)* shows the government needs to step in and make the code mandatory, Australian Greens Small business and Competition spokesperson Senator Nick McKim says.

ACCC Chairman Rod Sims says suppliers are already reporting that the big supermarkets are not negotiating their contracts with their suppliers in good faith.

Senator McKim said the result was entirely predictable.

“Unfortunately for their suppliers, the big supermarkets are continuing to abuse their dominant market position,” Senator McKim said.

“The Greens are the only party with a policy of a mandatory code of conduct, which would give the ACCC the necessary power to enforce good faith negotiations between retailers and suppliers.”

“This presents a clear test for new Assistant Treasurer and Minister for Small Business Kelly O’Dwyer – will she step in to protect suppliers and consumers? Or will she allow Coles and Woolworths to continue to strong arm everyone who gets in their way?”

Senator McKim said the Greens would seek to work with the government to make Australia’s competition policy as tough as it needs to be.

“The Greens are always prepared to stand up for Australia’s primary producers and suppliers to help create a more level playing field,” Senator McKim said.

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