The National Association of Retail Grocers of Australia (NARGA), which represents more than 4000 independent operators, has made a submission to a federal government review of the Trade Practices Act demanding stronger laws governing anti-competitive behaviour.
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NARGA spokesman Alan McKenzie said that independent grocers and supermarkets are under pressure from big business’ predatory pricing strategies: “NARGA has no problem with vigorous competition. Our problem is where that competition is unfair.”
McKenzie explained that giants such as Coles Myer, Bi-Lo and Woolworths have “enormous clout in their negotiations with suppliers” due to their control of almost 80% of Australia’s grocery market.
He added that this is a particular problem in Victoria “because there has been a strong independent sector”.
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By GlobalData
