The Power of Australian Supermarkets: Profit, Price Gouging, and Market Control

💰Coles and Woolworths have a combined market share of 65% in the Australian grocery market.

🤝The supermarkets have significant market power, dictating prices and controlling what products are available.

🍒Farmers and suppliers are at the mercy of the supermarkets, with little power to negotiate prices or dispute rejections.

📈Both supermarkets have reported record profits, with Woolworths increasing its profit margin from selling groceries.

🔍There are multiple inquiries and reviews targeting the duopoly, aiming to address the power imbalance and pricing practices.

Are Coles and Woolworths overcharging consumers?

—Some consumers believe they are being overcharged, with complaints about high prices for everyday items.

How do Coles and Woolworths control the market?

—They have a strong market share, allowing them to dictate prices and reject products based on their own guidelines.

Do Coles and Woolworths exploit farmers and suppliers?

—There have been allegations of exploitation, with farmers and suppliers having limited bargaining power.

Why haven't the Australian governments taken action sooner?

—There has been a lack of action from governments to address the issue, but inquiries and reviews are now underway.

What categories of products are affected?

—The dominance of Coles and Woolworths affects a wide range of products, including fresh produce and everyday groceries.

00:02Coles and Woolworths are the dominant Australian supermarkets, controlling 65% of the grocery market.

12:52Suppliers like cherry farmer Michael Cal highlight the power imbalance, as they are at the mercy of the supermarkets' pricing and rejection decisions.

14:19Cal reveals how his profit was impacted by a rejected shipment and the lack of power in negotiating prices.

11:58The duopoly's control over prices has led to accusations of price gouging and exploiting suppliers.

06:58There are ongoing inquiries and reviews targeting Coles and Woolworths to address the power imbalance and pricing practices.