Overview

• The Australian government has introduced a mandatory code of conduct for supermarkets, replacing the previously voluntary framework, effective April 2025.
• Violations of the code could result in fines of up to $10 million, three times the benefit gained from misconduct, or 10% of the company's annual turnover.
• The legislation aims to address concerns over supplier mistreatment, stifled competition, and alleged price manipulation by major supermarket chains such as Woolworths, Coles, Aldi, and Metcash.
• The Australian Competition and Consumer Commission (ACCC) will gain enforcement powers, including issuing infringement notices for breaches of the code.
• The move comes as the Labor government, facing inflation-related voter dissatisfaction, seeks to ensure fairer practices for farmers, suppliers, and consumers.