SUBSCRIBE

Breaking News on Food & Beverage Development and Technology - Asia PacificEU edition | US edition

Headlines > Policy

Read more breaking news

 

 

Australian price watchdog needs more ‘teeth’, says beef body

Post a commentBy Oscar Rousseau , 09-Jan-2017
Last updated on 09-Jan-2017 at 12:22 GMT2017-01-09T12:22:30Z

The ABA want Australian livestock producers to get a clear picture of prices across the meat supply chain
The ABA want Australian livestock producers to get a clear picture of prices across the meat supply chain

The Australian Competition and Consumer Commission (ACCC) should be given more powers to collect accurate data on the meat industry, the Australian Beef Association (ABA) has claimed.

ABA executive officer David Byard today (9 January) expressed his “utter disbelief” that the ACCC interim report on price transparency in Australia’s red meat sector had used data that was a decade old.

He called on retailers to supply more current data, otherwise efforts to provide transparent pricing across the supply chain would be frustrated.
 
Australian supermarket Coles supplied the data, which covers prices from 2007, said the ABA. It claimed meat producers received 54% of the retail price for meat, with processors picking up 15%, retail costs at 30% leaving a 3% margin for supermarkets.

'Erroneous and misleading'

“In my opinion, these figures were entirely erroneous and misleading,” said David Byard in a press statement. “Yet now it would appear that, because the two large supermarkets have refused to give evidence for this study on meat margins, the ACCC has chosen to use the old information once again.”

Byard said he wanted to see the ACCC “given teeth to do its job”. To achieve this, he called on Barnaby Joyce, Australia’s deputy prime minister and minister for agriculture, alongside treasurer Scott Morrison to grant the ACCC more powers to gather accurate data.

He admitted that the ACCC had “acknowledged its struggle” to obtain up-to-date information on the percentage breakdown of retail beef throughout the supply chain.

Price transparency concerns

The issue with out-of-date information is that the ABA fears the country’s livestock producers cannot get a clear picture of the state of play if the ACCC is unable to investigate price transparency concerns in the supply chain.

“The ACCC requires the power to make sure that everybody giving evidence can support that evidence, and if this doesn’t happen, we will end up with nothing more than expensive window dressing and a wasted exercise,” added Byard.

The ACCC interim report, published in October 2016, alleged a practice of “collusive and anti-competitive behaviour” in saleyard auctions as well as “serious shortcomings” in price reporting.

Post a comment

Comment title *
Your comment *
Your name *
Your email *

We will not publish your email on the site

I agree to Terms and Conditions

These comments have not been moderated. You are encouraged to participate with comments that are relevant to our news stories. You should not post comments that are abusive, threatening, defamatory, misleading or invasive of privacy. For the full terms and conditions for commenting see clause 7 of our Terms and Conditions ‘Participating in Online Communities’. These terms may be updated from time to time, so please read them before posting a comment. Any comment that violates these terms may be removed in its entirety as we do not edit comments. If you wish to complain about a comment please use the "REPORT ABUSE" button or contact the editors.

Related products

Related suppliers

Key Industry Events

 

Access all events listing

Our events, Shows & Conferences...