The president of a leading Australian farming association has raised concerns about a new retail code of conduct, designed to protect grower returns.
Last week, leading Australian retailers Coles and Woolworths, along with the Australian Food and Grocery Council, approved the terms of a new charter, which prohibits supermarket from using their market power to alter pricing arrangements with suppliers.
Signing up to the code remains voluntary but breaches of its terms could be punishable under the Competition and Consumer Act, pending Australian government approval.
New South Wales Farmers Association president Peter Darley believed the voluntary clause made the code a “complete waste of time”.
“Originally, 13 years ago, that's what they called for, a voluntary code of conduct,” Darley told the Australian Broadcasting Commission.
“We know that it didn't work then and it won't work now. We've got to stand our ground hard and fast with this government as well, as it's got to be mandatory.”
