Treasurer Jim Chalmers has revealed the new code of conduct for food retailers will soon be put in play to support suppliers as fines as high as $10 million hang over the heads of the major supermarkets.
An interim version of the code was released in April which was launched after a flurry of consumer and supplier complaints following the billion dollar profits made by Coles and Woolworths last year. Picture: Asanka Ratnayake/Getty ImagesAll supermarkets which reach an annual revenue threshold of $5 billion will be automatically covered by the code, which would include Woolworths, Coles, ALDI, and Metcash – the owners of IGA.
“It's about ensuring that the big supermarket chains do the right thing by their supplier and also by their customers,” Mr Chalmers said. “It's really all about making sure that the food and grocery code is mandatory, that there are big penalties for people who do the wrong thing, and that there are better avenues for people to make complaints and resolve disputes.”
Mr Emerson said the previous code was not doing its job as it did not administer any penalties and there were no disputes raised after 2021.