A better deal for small businesses

MARCH 16, 2016: SMALL business operators and rural producers had a mighty win today with the Federal Liberal National Government moving to correct the abuse of market power by the big two supermarkets.Changes mooted will make it easier to successfully prosecute cases where such abuses of power was taking place.This is a win for small business, for rural producers, for the little guys.Up until now, suppliers and growers or other shop keepers have had to prove the intention behind an action was to destroy competition or screw down their suppliers.That would have taken a mind reader to successfully prosecute.Now we will amend competition laws so that if it had ‘the effect’ of doing that, it will be illegal.This means small to medium business operators, farmers and primary producers will be in a better position to get a fair deal when they come up against the likes of Coles and Woolworths.The “effects test” was a recommendation of the Harper Review and it will require a change to Section 46 of the Competition and Consumer Act which addresses the misuse of market power.Mr Christensen said the changes would benefit more than two million small businesses, which make up more than 97% of all businesses.