House debates

Wednesday, 25 November 2009

Questions without Notice

GroceryWatch

3:11 pm

Photo of Kevin RuddKevin Rudd (Griffith, Australian Labor Party, Prime Minister) Share this | Hansard source

The honourable member asked me a question about competition and prices in the grocery sector and I was responding to his question. Firstly, the government has taken measures to enable foreign owned supermarkets like Aldi and Costco to more easily expand their operations in Australia. After the government made the change I referred to before, Aldi announced its plans to expand and open up a further 500 stores across Australia. If those opposite are suggesting that has no impact on competition within the grocery sector, I do not think they are analysing these facts and figures fairly. That is one measure.

Furthermore, can I also refer the honourable gentleman to what the government has done in relation to unit pricing. It becomes mandatory for major supermarkets from December of this year, and this will empower consumers to make informed choices about supermarket items that constitute the best value for money. On the question of unit pricing, which is a debate that has been going on for years and years and years, they had 12 years to act on this and we have been able to act on that within our first two years in office, and it comes into effect as of December this year. Furthermore, in September the ACCC ended restrictive agreements in leases between shopping centres and Coles and Woolworths which restricted rivals from setting up in shopping centres.

The honourable member asked a question about what in practical terms the government has done about grocery prices and the competition forces which underpin grocery prices out there in the community. There are three practical measures we have undertaken and implemented in our first two years in office contrasted with the 12 years of inaction on this by those opposite when they had ample opportunity to act—ample opportunity to go in there and make a difference—and they did precisely nothing.

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