The Australian Consumer and Competition Commission (ACCC) has released its report on the country’s grocery industry, finding competition marginal and launching the government’s Grocery Choice website.
The six-month inquiry into the Australian grocery retail industry, dominated by the Woolworths and Coles supermarket chains, found that rivalry between the two was “workably competitive”, but had definite room to grow.
“Australian consumers would significantly benefit if Coles and Woolworths faced more competitive threats that encouraged more aggressive pricing strategies,” the report stated.
The two retail giants command 70 per cent of the sale of packaged goods, and 50 per cent of fresh food in the AU$70bn Australian grocery industry.
Grocery Choice, the website launched today by the Australian government, tracks and compares prices across the major retailers with the aim of heating up competition and giving consumers more information.
The report also recommended new planning laws to make it easier for smaller retail groups like Aldi and IGA to expand.
