Australian Government to Cap Grocery Prices in Remote Communities to Match City Costs
The initiative, part of the Closing the Gap strategy, will subsidize 30 essential items in 76 remote stores to address food insecurity and health disparities.
- The federal government will ensure prices for 30 essential grocery items in 76 remote stores match those in metropolitan areas, starting in July 2025.
- The $50 million subsidy over four years aims to alleviate the high cost of living in remote communities, where grocery prices can be more than double those in cities.
- The policy addresses logistical challenges like high freight costs and limited competition, which contribute to inflated prices in remote areas.
- Health concerns, including high rates of diabetes and kidney disease in Indigenous communities, are a key focus, with the initiative promoting access to nutritious food.
- The measure is part of the annual Closing the Gap statement, which reported limited progress on key targets, with only five of 19 goals currently on track.
Australian Broadcasting Corporation 
SBS News 