The most ground-breaking of findings finds that 72 per cent of Australians believe the grocery market is too dominated by Coles and Woolworths and that there is not healthy competition.
MGA/LRA CEO, Jos de Bruin said: “The existing competition laws have permitted Coles and Woolworths to gain extreme market domination.
“This survey shows a large majority of people believe there is something wrong with this state of affairs. They are concerned that they are the losers in terms of price and they want much more choice and variety.
“They are also concerned about the wider impact on our society. They perceive there is an unfair impact on Australian farmers and suppliers who have been forced to bow down to the market power of the “Big Two”. Many also mentioned preserving local jobs and creating a level playing field for small businesses against large ones.”
75 per cent of consumers also said in the survey that that the competition laws should be strengthened, with the belief that healthy competition delivers lower prices (83 per cent agreed), greater choice and variety of goods and services (86 per cent agreed) and a generally fairer society (82 per cent agreed).
79 per cent also said that they see it as “very” or “fairly” important for the consumer watchdog, ACCC to have the legal power and resources it needs to fulfill its charter, including halting anti-competitive practices. While 90 per cent believe it is important for local independent supermarkets to survive.
Mr. de Bruin added: “The survey shows a great deal of support for strengthening the competition laws to create healthy competition. Specifically the survey shows a high level of support for introducing an “effects” test, which would give the ACCC more power to stop Coles and Woolworths misusing their market power.”
Share the content
