The Victorian Farmers Federation (VFF) appreciates the opportunity to provide this submission to the Senate Select Committee on Supermarket Prices. The VFF believes that the best outcomes for suppliers and retailers are achieved when there is normal commercial bargaining and transactions between the parties.
Well-functioning, competitive markets drive the best outcomes, including prices for suppliers and consumers. The VFF wants the inquiry to focus on the broader drivers of food and grocery price rises. The market power and behaviour of the large supermarkets may be a factor, but the VFF considers that there are other drivers of price increases that are more directly affected by government policy changes.