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Sue Mitchell

‘Bullying’ returns to food sector as supermarkets offset rising prices

Desperate times may call for desperate measures, but no one in the sector wants to see a return to the dark days, when the major chains abused their market power.

Sue MitchellColumnist

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Seven years after the Food and Grocery Code of Conduct came into effect, tactics used by major supermarket chains to pressure suppliers are making an unwelcome return amid an unprecedented surge in food prices.

Industry players have accused Coles and Woolworths of demanding confidential information and threatening adverse consequences from range reviews – practices banned by the Code of Conduct – when suppliers request significant price rises to claw back soaring transport, energy and commodity costs.

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Sue Mitchell writes the fortnightly Window Shopping column for the Financial Review and has covered retailing for over 30 years. Connect with Sue on Twitter. Email Sue at smitchell2045@gmail.com

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    Original URL: https://www.afr.com/companies/retail/bullying-returns-to-food-sector-as-supermarkets-offset-rising-prices-20220609-p5asg1