Backing call for a supermarket royal commission

OCTOBER 18, 2018: MEGA retailers Coles and Woolworths needs to be held to account for ruthless practices which rob farmers and cripple small independent retailers, so I am backing the call of my LNP colleague Member for Wide Bay Llew O’Brien for a royal commission into the duopoly.Coles and Woolworths continue to decimate the dairy industry through their retailing of $1 milk.And their practices extend beyond the dairy industry.I’ve spoken personally with a number of fruit and vegie growers, who have told me about the pressure they feel due to the huge market power that Coles and Woolies have.They face pressure to comply with prices and conditions that are just unfair and they’re scared to speak up. And when people are so scared that they won’t put their name to anything official then it’s obvious that there is a major problemI see it as evidence that there’s not only a culture of misuse of market power but bullying and intimidation as well.I’ve also spoken to small shopkeepers, other independent retailers, who have told me about how the market power of the retail duopoly has almost forced them out of business.Coles and Woolworths can sell products at a cheaper rate than independent retailers can buy for at wholesale.The small independents are then forced to sell at a higher price than the supermarkets to try to remain viable. The market power of the duopoly is being used to squeeze smaller players out.The only winners in this whole scenario are the big retail giants; not the farmers, not small businesses and not consumers who want to support our farmers.