21 March 2025
Following the release of the ACCC Supermarkets Inquiry Final Report, Business Council of Co-operatives and Mutuals (BCCM) CEO Melina Morrison acknowledges the need to provide better outcomes for consumers in regional and remote parts of Australia where the major operators are dominant. Read her statement.
“The BCCM heralds the major first recommendation of the ACCC inquiry into supermarket power for government to support more co-operative supermarkets,” said Ms Morrison
“The consumer watchdog’s conclusions are in. Australian consumers suffer when it comes to their shopping bill on food and groceries because of the clear oligopoly in the supermarket sector. But in their major first recommendation, the ACCC calls on Governments to support better prices and competition for Australian shoppers especially in regional and remote areas through measures to incentivise more community owned and co-operative stores,” she said.
“The slow attrition of mum and dad stores, smaller supermarkets, independent stores and co-operative shops is also the result of policies failing to support different corporate structures like co-ops and mutuals,” Ms Morrison said.
“In many countries the secret to the flourishing of independent stores, co-op supermarkets and farmers’ markets is the fact that business policy settings enable these types of businesses to compete on a level playing field,” she said.
“Co-operatives are motivated to keep prices lower, increase choice on the shelf and treat suppliers ethically. Policies encouraging co-operatives to form and grow in retail must be part of a multi-pronged strategy to counter monopolisation of markets.
“In regional areas, where co-ops play a vital role in thinner, or less profitable markets, co-operatives are an excellent choice for retail, holding investment in the community, employing locally and facilitating shorter and more localised supply chains. This means the communities served by retail co-ops are better served in times of crisis when decisions are made close to home.
Read the ACCC’s first recommendation in the Supermarkets Inquiry Final Report (p 24)
Read our media release: Co-op sector heralds ACCC recommendation for consumer power through co-operatively owned supermarkets – ACCC inquiry in supermarket power
More information
Read BCCM’s submission to the ACCC
Watch BCCM on The Business about supermarket concentration
Read Melina’s comments on the ABC business blog
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About BCCM
The BCCM is the national peak body for Australia’s $43 billion co-ops and mutuals sector, representing businesses that range across retail, agriculture, banking, financial services and healthcare. There are currently at least 72 co-operatives active in grocery retailing with an estimated combined turnover of $500 million and 75,000 members. While not a large part of the overall market, most co-operatives operate in regional and remote markets where they are crucial in securing the supply of groceries for their members.
Interviews
For further information or to discuss the recommendations with Ms Morrison, please contact Ian Pemberton at P&L Corporate Communications on 0402 256 576.
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