Cartel Power Granted to Australian Supermarkets

Competitors, like supermarket chains, are normally prohibited from entering into certain arrangements with each other under Australia’s competition law, with such cooperation normally amounting to prohibited cartel conduct. But as the covid-19 pandemic has seen many customers anxiously stockpiling groceries, Coles, Woolworths, IGA and ALDI have successfully sought permission from the Australian Competition and Consumer Commission to work together to ensure the supply and distribution of goods reaches consumers. But with supermarkets constantly telling us that supply is not the problem, just how necessary, and viable, are these changes?

Dr Katherine Kemp, Senior Lecturer at the University of New South Wales Law School joined The Daily to explain.

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