Chris Bowen (Prospect, Australian Labor Party, Assistant Treasurer) Share this | Hansard source

The ACCC plays a very important role in the Australian economy. Competition provides benefits for consumers. Ordinary Australians, as the member for Kennedy rightly points out, rely on their watchdog to ensure competition. It was Adam Smith who said that businessmen, when they get together, will in many cases turn their minds to collusion. It is necessary to ensure that that does not occur. That is why the ACCC is such an important institution. People rely on it to promote competition and a fair deal.

In relation to the member for Kennedy’s opening remarks, I must say that one thing which is not in the ACCC’s remit is foreign investment. They do not regulate foreign investment. They have no role in foreign investment. That is a matter for the Foreign Investment Review Board. In fairness to the ACCC, they cannot play any role in foreign investment and it is not accurate to say they have ignored other foreign takeovers—that is the responsibility of a different organisation.

In relation to the member for Kennedy’s comments on the grocery inquiry report which was recently handed down, the most important thing is that the ACCC recommended a series of changes to the Horticultural Code. I do not want to put words in the member for Kennedy’s mouth, but I think I am right in saying that these are changes which the member for New England and the member for Kennedy have been calling for in the past. They have been calling for these changes for some time, and the previous government ignored them. I know that the National Farmers Federation has welcomed the changes recommended by the ACCC to the Horticultural Code.

What is important is the action that arises out of the report. I know that the member for Kennedy is disappointed that the ACCC did not find anticompetitive conduct, unconscionable conduct, on the part of Coles, Woolworths and other retailers. In fairness to the ACCC, what they said is this: ‘Come and give us evidence in camera, come and give us evidence confidentially, and we will make recommendations accordingly.’

The ACCC makes recommendations based on the evidence in front of them. What they have said is that they think the situation can be improved, and that the horticultural code of conduct can be improved and farmers can get a better go. That is what counts: that farmers do get a fairer chance. The minister for agriculture and I have agreed that the horticultural code of conduct will be reviewed with a view to implementing the recommendations of the ACCC.

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