December 1, 2016
Queensland dairy farmers, who have long been calling for the introduction of an “effects test” into consumer legislation, will be celebrating.
Legislation which will give the ACCC stronger powers to pursue practices which effect competition have been introduced into the Federal Parliament.
The Queensland Dairyfarmers Organisation has been pushing for an “effects test” since 2011 when the supermarket milk price war began.
The new legislation will update the Competition and Consumer Act with the aim of reducing the ability of large companies to use their market power to damage their suppliers and/or smaller competitors and so reduce overall competition.
QDO president Brian Tessmann said the new provision would encourage transparency to the benefit of producers, consumers and retailers.
“The effects test will benefit not only Queensland dairy farmers, but the entire small business sector in resolving issues around predatory pricing,” he said.
