THE Australian Greens have emerged as an unlikely champion of local farming industries, unveiling a plan to loosen the major supermarkets’ chokehold over the region.
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The party’s competition policy, released on Thursday, would radically alter the laws governing supermarkets, preventing them from buying up agricultural land, placing a temporary ban on expansion and bolstering the power of the ACCC.
But perhaps the strongest plank of the new policy is an amendment to section 46 of the Competition and Consumer Act, to ensure that anti-competitive actions are judged on their effect, regardless of whether an intention of anti-competitive behaviour can be proved.
At present, a grower or business must prove a supermarket’s intent to reduce competition – something which is near-impossible to establish.
Local fruit and vegetable growers, and many of the region’s wineries, have welcomed the new policy.
“It’s no secret the consumer is always demanding a better deal and if that means supermarkets need to buy overseas or squeeze a better price out of local producers, they will do it,” Hanwood prune grower and chairman of the Australian Prune Industry Association, Grant Delves, said.
“Morally, what they do is unfair, but it’s not easy to prove it’s uncompetitive.”
Also outlined in the Greens’ policy is an initiative to increase consumer choice, particularly regarding supermarket “own” brands.
Riverina Greens candidate Ros Prangnell said Woolies and Coles were using their size and power to “abuse” local farmers.
“Riverina farmers play a crucial role in providing agricultural products and food yet the supermarket duopoly is in a position to abuse their power in the marketplace to demand lower prices from producers,” Ms Prangnell said.
“As the market share of these grocery giants continues to grow, they are squeezing the margins of their suppliers, putting pressures on farmers and local manufacturers.”
Riverina DLP candidate and former Wagga supermarket owner Paul Funnell said it was ironic the Greens had gazumped the Nationals on a pro-farming policy.
“The Nationals have this emphatic commitment to free trade and free markets at all costs,” Mr Funnell said.
“They are complicit in allowing a duopoly that has brought local farming industries to their knees.”
