New restrictions on price marketing strategies

Out of the 2008 Grocery Price Inquiry conducted by the Australian Competition & Consumer Commission, the Rudd Government made a number of attempts to increase competition among grocery retailers. Some of these, such as the GroceryChoice website, have foundered completely. On 25 May 2009, the Trade Practices Act was amended by the introduction of a new Section 53C. This is the latest of recommendations being implemented from the Grocery Price Inquiry. Other measures have previously included amending the Horticultural Code of Conduct and introducing a national unit pricing scheme. While Section 53C seems to be aimed at the vendors of airline tickets, motor vehicles and insurance policies, the broader application of Section 53C to common practices in the marketing of food could have a number of adverse consequences.

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