AFGC comments on ACCC inquiry into supermarket pricing

The Australian Food and Grocery Council (AFGC) welcomed the ACCC’s final report on its inquiry into supermarket pricing, released on Friday, 21 March 2025.

The AFGC said in its statement that food and grocery suppliers work collaboratively with retailers to ensure Australians have access to a wide range of high-quality products. A fair and competitive market is essential to ensuring the long-term viability of the sector.

“The ACCC’s report acknowledges the significant impact of rising costs, including rising labour, energy, cocoa, [and] sugar, on suppliers and consumers. These pressures have impacted the entire supply chain and have forced food and grocery manufacturers to make difficult decisions about wholesale pricing, packaging sizes and product viability. Supply chain disruptions caused by natural disasters, such as cyclones and fires, further add to the cost of doing business,” the statement read.

“The industry urges the government to implement policies that foster investment in improved manufacturing processes, including automation and digitisation, and supply chain infrastructure. Manufacturers also need policies to enable affordable and stable energy supply. These interventions will help local manufacturers continue to support the over 280,000 jobs they provide, many of which are in rural and regional areas during an unrelenting cost of living crisis.”

The AFGC said it looks forward to working with all stakeholders, including government and retailers, to ensure a fair and sustainable food and grocery sector.

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