Small farmers at mercy of supermarket giants, seller says
A small-scale banana farmer who has had his agreement with Coles ended due to the supermarket giant simplifying its supply chain says the move signals the end of small-scale farms across the country.
A banana farmer in New South Wales who lost his agreement with Coles says the supermarket's decision signals the end of small-scale farms across the country. Industry experts claim Coles and Woolworths are centralizing their supply chains to cut costs, potentially putting small producers at a disadvantage. Coles recently stopped selling bananas from a specific region, while Woolworths confirmed it was pulling certain local products.
The Australian Competition and Consumer Commission (ACCC) found the supermarkets had significant power in their relationships with suppliers. Farmers often lack negotiating power and may be forced to reduce prices to support supermarket promotions. Centralizing supply chains can make it difficult for smaller producers to compete, potentially leading to the removal of their products from supermarket shelves.
Written by urgent.news from ABC News AU's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
