A four-month inquiry by the Australian Competition and Consumer Commission (ACCC) into rising grocery prices began in Sydney on Tuesday and will travel to all capital cities as well as number of regional areas. The enquiry will examine the factors that influence the pricing of grocery items at the supply, wholesale and retail levels of the industry.
The ACCC will also consider the competitive positions of Woolworths (Safeway) and Coles, which together share 80 per cent of the retail packaged food business, and the effect of their market dominance on small and independent retailers.
According to consumer groups and smaller grocery cahins, Australia’s grocery market duopoly needs urgent reform to lower prices and reduce barriers to entry. What do you think? Read the full story on Yahoo7 News and then answer the following questions:
Identify the main stakeholders and their roles in this issue.
What is the ‘consumer price index’ and would separate index for food and groceries help consumers?
Outline some of the main findings already made by the ACCC enquiry.