Jim Chalmers (Rankin, Australian Labor Party, Treasurer) Share this | Hansard source

Thank you to the Leader of the Nationals for his question about a really important issue, and that is how we make sure that, when it comes to our supermarkets, that we get a fair go for farmers and families. That's our objective as a Labor government.

Not that long ago, in the last couple of weeks or so, I stood next to the terrific chair of the ACCC who was asked about divestiture powers. The point that the chair made then and the point that I want to make now is that the things that we are doing to crack down on the supermarkets will make the sorts of powers that the Leader of the National Party is talking about today unnecessary. If we get in at the start and prevent the kinds of mergers which are anticompetitive, and if we get in and do the right thing in the terms of the legislation that Assistant Minister Leigh, Minister Jones and I have been working on, then we can get the right kind of outcome without going towards these sorts of proposals.

The reason we should be very wary about the proposals that the Leader of the Nationals has put forward today is that we want to make sure that there aren't unintended consequences when it comes to divestiture. Divestiture powers are a blunt instrument. They are rarely used in any other jurisdiction, and, frankly, we've got better ways to crack down on anticompetitive behaviour, especially when it comes to supermarkets. We don't see any evidence anywhere in the world that breaking up the major supermarkets is working. If you force supermarket one to divest and the only viable buyer is another big supermarket chain, then that divestiture makes things worse. It makes things less competitive, not more competitive.

I finish on this point. The merger that risks consumers the most in this country right now is this very bizarre merger between the Greens political party and the Liberal and National parties. This is the merger which should trouble Australian consumers the most. This is the merger that risks doing the most damage to people who are struggling to make ends meet—

See this speech in context