Bob Katter (Kennedy, Independent) Share this | Link to this | Hansard source

Mr Speaker, you are taking advantage of my kind nature here. My question without notice is to the  Minister for Competition Policy and Consumer Affairs. Is the minister aware that food retail margins in Britain, as published in Food Statistics 2007, show a mark-up of only 163 per cent over farm gate price and that, on a basket of selected households items produced in the parliament on 28 August, the Australian mark-up was found to be 267 per cent? Would he not agree that this should be expected, since in Great Britain the two top retailers hold under 40 per cent of market share, whilst in Australia the two top retailers hold over 86 per cent? Finally, would he not agree that the last government had to know the average farmer was getting 30 per cent less than his OECD counterpart, whilst the average housewife, according to these figures, should have been paying, similarly, $100 less per week for her groceries? Would he not agree that that government should be condemned?

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

I call the Minister for Competition Policy and Consumer Affairs. The last aspect of that question was bordering on opinion, but I get the point.

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

I thank the honourable member for his question. He certainly holds these views passionately. We have had the chance to discuss similar items outside the House in some detail. It is important to note that the ACCC’s report recommended significant changes to the horticultural code, which have been widely welcomed by farmers and which are being worked through by my colleague the Minister for Agriculture, Fisheries and Forestry. It is also important to note that the ACCC’s report into grocery prices found that the margins of Australian retailers by and large match the comparable margins of nations with similar concentration levels.

It is also the case that the ACCC did recommend, and the government agrees, that there should be substantially more competition in the Australian retail grocery market, which not only benefits consumers but would also give farmers and wholesalers more opportunity to choose to whom they sell their products. The government certainly agrees with the honourable member that the former government needs to be condemned for lack of action in relation to competition in the grocery market. We certainly hold the view that there needs to be more competition in the grocery market. That is why we have freed up the foreign investment laws. That is why we have made planning a priority in relation to the COAG process, ensuring that the planning process in Australia is used to promote competition, not inhibit competition. That is why we are moving on creeping acquisitions, to limit the ability of large and powerful players in the market to increase their market power even further. That is the program of reform by the government in relation to competition in the grocery market, which will not only benefit retailers and consumers but will also benefit farmers and wholesalers.

Bob Katter (Kennedy, Independent) Share this | Link to this | Hansard source

Mr Speaker, I seek leave to table the document from which I quoted—

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

Is leave granted?

Bob Katter (Kennedy, Independent) Share this | Link to this | Hansard source

which proves Mr Samuel is a liar.

Honourable Members:

Honourable members interjecting—

Leave granted.