NFF welcomes bipartisan support for supermarket competition reform

The peak farming body has welcomed the Coalition's announcement showing bipartisan support for a mandatory Food and Grocery Code of Conduct and significantly increased penalties for breaches by retailers.

National Farmers' Federation President David Jochinke anticipated this as a step forward for better protection of growers, with both major parties on the same page to reform anti-competitive behaviour by supermarkets.

"The NFF has long advocated for these measures, firmly believing they will help correct the power imbalance for farmers.

"The recent Independent Review of the Food and Grocery Code of Conduct highlighted the fresh food sector is especially vulnerable to the misuse of market power due to the perishable nature of their products.

"Consequently, bipartisan support for clear and effective remedies is a particularly welcome development for growers, especially those in the horticulture and dairy industries."

The Coalition has also proposed several new initiatives, including the appointment of a Supermarkets Commissioner and the introduction of divestment powers for Australian supermarkets and hardware stores.

"The NFF notes the Coalition's invitation to engage with stakeholders over the coming weeks on its proposal.

"While the NFF does not have a position on divestiture, we are committed to working with our members to understand the Coalition's proposal.

"It is essential any significant shifts in Australian competition policy are carefully considered to fully comprehend potential risks for producers, consumers, and the broader supply chain."