'They will need to explain': Supermarket bosses to face Senate grilling next week
Woolworths' and Coles' chief executives will face questions about price gouging, high profits, and their conduct towards suppliers such as farmers when they appear before a Senate inquiry into supermarket pricing next week.
Coles boss Leah Weckert and outgoing Woolworths counterpart Brad Banducci will front the inquiry next Tuesday, it was announced today.
Greens senator Nick McKim, who chairs the committee, said the pair could expect to face tough lines of questioning during the hearings.
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Woolworths CEO Brad Banducci and Coles counterpart Leah Weckert will front the supermarket p[ricing Senate inquiry next week.. AFR/Michael Quelch/Elke Meitzel
"They'll have to answer for price gouging shoppers and putting the squeeze on farmers," he said.
"They'll have to explain how they are raking in billions in profits while millions of Australians are struggling to put food on the table."
The inquiry has been running since late last year, and held three public hearings last month, when it heard from the likes of farmers, agricultural bodies, and consumer groups.
"People have spoken about skipping meals, being forced to dumpster dive and missing out on other essentials," McKim said.
"We've heard from farmers and suppliers who have been sent to the wall because of Coles' and Woolworths' abuse of market power.
"It's time for the CEOs to front the Senate and face the music.
"They will need to explain why they are in denial of their market dominance and have fought any regulation that threatens their power over shoppers and farmers."
Both supermarkets posted full-year profits above $1 billion last year as grocery prices rose during the cost-of-living crisis.
Woolworths and Coles hold a combined market share of above 65 per cent in Australia's supermarket sector.
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Senator Nick McKim said it was time for the supermarket bosses to "face the music". Alex Ellinghausen/SMH
They have both previously denied price gouging and defended their conduct towards suppliers.
Today's announcement that Banducci and Weckert will appear before the inquiry next week comes after the release of the interim report into the supermarket code of conduct.
The review, by economist and former Labor minister Craig Emerson, called for the voluntary code to be made mandatory for Coles, Woolworths, Aldi and IGA owner Metcash, and for businesses to face fines in excess of $10 million for poor conduct towards suppliers.
The code, which has been in place since 2015, does not currently contain any sanctions for supermarkets that breach it.
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