Key Points
- Supermarket giants could be scrutinised by a parliamentary committee.
- Greens senator Nick McKim said major supermarkets had had far too much power in Australia for too long.
- Nationals leader David Littleproud said a parliamentary inquiry would take too long when action was needed now.
As Australians battle the increasing cost of living, a parliamentary inquiry will investigate if .
The Greens will seek to establish a committee inquiry into the impact of market concentration on food prices and the pattern of pricing strategies employed by the supermarket duopoly.
Coles and Woolworths will be in the spotlight as the inquiry scrutinises the increasing cost of essential items, the validity of discounts offered and profit inflations.
Greens senator Nick McKim said major supermarkets had had far too much power in Australia for too long.
"Coles and Woolworths are making billions in profits because they feel that they can overcharge people without repercussions (and) it needs to end," McKim said, accusing supermarkets of "price gouging" during "Australia's cost of living crisis".
"We want the CEOs to justify their decisions in a public hearing."
But Nationals leader David Littleproud said a parliamentary inquiry would take too long when action was needed now to address.
He has pushed for the consumer watchdog to investigate whether price gouging was occurring.
"The cost-of-living crisis is now, not next year and the supermarkets have form on this, having gouged consumers during COVID," he said.
"An Australian Competition and Consumer Commission inquiry could have started the investigation before Christmas and actions ... can be undertaken immediately, without having to wait for the completion of the (parliamentary) inquiry."
For the inquiry to proceed it needs to pass a Senate vote. SBS News understands a vote will likely happen on Tuesday or Wednesday.
Coles and Woolworths both posted profits of more than $1 billion in the past financial year.
A Coles spokesperson said in a statement the company was "always exploring ways to reduce prices on the products we sell" and was "not immune to the increased cost of doing business".
"Construction costs, energy prices, the cost of logistics and packaging have all risen", the spokesperson said.
A Woolworths spokesperson said the company was "working to deliver relief" on grocery bills.
“As we start to see the rate of inflation ease, we will continue to focus on delivering savings to our customers," the spokesperson said in a statement.
in an effort to rein in inflation, increasing living cost pressures nationwide.
