Rachel Siewert (WA, Australian Greens) Share this | Hansard source

asked the Minister representing the Treasurer, upon notice, on 25 November 2011:

(1) Given that the Minister has stated that he is concerned that the retail supply chains are getting so badly damaged and consumers' choices are being limited, can an explanation be provided as to whether the Labor Government members were fully advised prior to introducing the National Competition Policy that it was not based on classical market theory but the Baumol based 'contestability theory', which supported corporate market dominance.

(2) Is the Minister aware that the Baumol based 'contestability theory' was the basis for the major recommendation for removing the restrictions on price discrimination by retailers to their suppliers.

(3) Is the Minister aware that in their 2008 grocery price inquiry, the Australian Competition and Consumer Commission (ACCC) avoided admitting that the basic pre-conditions of 'contestability' did not exist in Australia's retail grocery sector.

(4) Is the Minister also aware that the ACCC avoided assessing the impacts of the National Competition Policy on the Australian retail grocery sector in their 2008 grocery price inquiry.

(5) Given that the ACCC chose to ignore that the majority of Australia's primary producer organisations advised it that there was a growing gap between farmgate and retail prices, how will the Minister ensure that the ACCC will properly assess the serious concerns and complaints of Australia's grocery supply sector.