THE federal election hindered a speaker from exploring the details of the Horticulture Code of Conduct at the 2016 National Horticulture Convention last week.
Australian Competition and Consumer Commission small business and product safety division executive general manager Nigel Ridgway delivered the opening address at the event, mainly providing an update on the Food and Grocery Code of Conduct.
But early in his presentation, Mr Ridgway said although his department was responsible for the hotly debated Horticulture Code of Conduct, he was unable to go into depth on the subject due to it becoming an election issue, and the fact the government was in caretaker mode.
Instead, Mr Ridgway outlined some of the successes the ACCC has had on compliance rulings involving the major supermarkets, in particular Woolworths and Coles.
He said an initial hurdle in compiling a case for change against the major retailers was getting growers and suppliers to talk in the first instance.
"One of the early challenges was generating any complaint data," Mr Ridgway said.
"It was about encouraging businesses to have the courage to make a complaint."
He said the ACCC eventually gathered about 50 complaints alleging unfair dealings with the supermarket giant.
One such complaint included a provider receiving a $120,000 bill for a late delivery.
"There was no supply in the award for that," Mr Ridgway said.
The eventual outcome from the ACCC's pursuit was that Coles paid $10 million in fines and $12 million in compensation to suppliers.
"It has set a bit of a bar for what big business should be thinking about when dealing with small business," Mr Ridgway said.
The ACCC is currently involved in proceedings in the Federal Court against Woolworths, alleging it engaged in unconscionable conduct in dealings with a large number of its supermarket suppliers, in contravention of the Australian Consumer Law.
Mr Ridgway said the introduction of such codes should provide some certainty to growers.
"There are a number of lines of behaviour that are not acceptable. We will be policing the Food and Grocery Code in the same way as others," he said.
He also encouraged farmers and small businesses to consider collective bargaining when dealing with bigger companies.
Ashley Walmsley
Ashley Walmsley is the editor of ACM's only national, fresh produce magazine, Good Fruit & Vegetables, while also covering horticulture stories for the agricultural papers and websites. He also writes the weekly, The Ringer, column in the Qld Country Life.
Ashley Walmsley is the editor of ACM's only national, fresh produce magazine, Good Fruit & Vegetables, while also covering horticulture stories for the agricultural papers and websites. He also writes the weekly, The Ringer, column in the Qld Country Life.
