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ABA Chewing the Fat on Supermarket Transparency

26 June 2008

AUSTRALIA - David Byard, of the Australian Beef Association (ABA), has said that he found the Australian Competition and Consumer Commission (ACCC) inquiry into supermarket pricing "very disturbing".

Commission chairman Graeme Samuel has said the inquiry has failed to find a smoking gun, but Mr Byard's response is that he and his commission "appear to have been blinded and deafened by a smoking gun belching out half truths".

One supermarket submitted that it was paying $4.60/kg. for a carcass. Supermarkets claim they make only 3% profit on beef sales, and that retail meat price increases are due in part to the cost of grain. They also claim they buy only grain-fed cattle.

"I suggest Mr. Samuel brings these statements together and goes to the supermarkets and producers and examines receipts over the past three years. That way, he will find out what consumers are paying and what producers are getting", wrote Mr Byard

"He should also find out from the processing sector how much meat the supermarkets buy in box form from processors."

He goes on to say that it would be interesting to see if the cattle killed for meat sold in boxed form would meet the standards supermarkets say they adhere to.

Farmers are bitterly aware of the vast difference between farm-gate and retail-shelf prices, and let down by agricultural industry organisations, now want the ACCC to get to the truth.

TheCattleSite News Desk



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