Terms of Reference

The impacts of supermarket price decisions on the dairy industry

Terms of Reference

The impact on the Australian dairy industry supply chain of the recent decision by
Coles supermarket (followed by Woolworths, Aldi and Franklins) to heavily discount
the price of milk (to $1 per litre) and other dairy products on the Australian dairy
industry, with particular reference to:
(a) farm gate, wholesale and retail milk prices;
(b) the decrease in Australian production of milk from 11 billion litres in 2004 to
9 billion litres in 2011, of which only 25 per cent is drinking milk;
(c) whether such a price reduction is anti-competitive;
(d) the suitability of the framework contained in the Horticulture Code of Conduct
to the Australian dairy industry;
(e) the recommendations of the 2010 Economics References Committee report,
Milking it for all it's worth – competition and pricing in the Australian dairy
and how these have progressed;
(f) the need for any legislative amendments; and
(g) any other related matters.

For further information, contact:

Senate Standing Committees on Economics
PO Box 6100
Parliament House
Canberra ACT 2600

Phone:+61 2 6277 3540
Fax:+61 2 6277 5719