Agriculture

Competition and fair trading in the agriculture sector is a priority for the ACCC. We've compiled information and resources on competition and business issues that are relevant to the sector.

Agriculture and the ACCC

The Agriculture Unit was established to examine competition and unfair trading issues in agricultural supply chains with a view to improving enforcement and compliance with the Competition and Consumer Act 2010 (the Act) across the agriculture sector.

We have three main objectives regarding agriculture:

• Identify key agricultural supply chain issues across the agricultural sector for enforcement focus, investigation and prosecution.
• Increase awareness about codes of conduct, collective bargaining and the ACCC’s consultation processes.
• Conduct specific market studies to enhance our understanding of the competitiveness of agricultural supply chains and how this impacts on farm gate outcomes in general.

A summary of the work undertaken by the Unit in its first year is available in ACCC Agriculture Unit - A year in review.

See also: Agricultural Competitiveness White Paper

Agriculture Commissioner

Our ACCC Commissioner with specific expertise in agriculture, Mick Keogh, works with the Agriculture Unit and assists the ACCC’s activities to encourage fair trading and strengthen competition across agricultural supply chains.

See: Commissioner Mick Keogh

Cattle and beef market study

In 2016-17 the ACCC’s Agriculture Unit conducted a market study of the cattle and beef sector. The market study examined competition, transparency and efficiency in cattle and beef supply chains.

See: Cattle and beef market study

Inquiry into the dairy industry

The final report following the Dairy Inquiry was released on 30 April 2018.

See: Dairy Inquiry

Horticulture and viticulture

In April 2017, the Australian Government launched the revised nation-wide Horticulture Code of Conduct, which sets out mandatory requirements for traders and agents operating in Australian fresh fruit and vegetable markets.

In 2016, the ACCC held a series of regional workshops to speak with people in the horticulture and viticulture industries about the competition and fair-trading issues that affect them and to gain a better understanding of the issues present in supply chains. An account of the competition and fair trading issues raised during the workshops and the ACCC’s response to these issues is available in Perspectives in horticulture and viticulture.

Agriculture information network

We send out newsletters to update subscribers of upcoming events, workshops, market studies, and other relevant opportunities to engage with the ACCC.

• Subscribe to the Agriculture information network

Competition and business issues

Several areas of the ACCC’s work have direct impact on agricultural businesses.

• 
  Anti-competitive behaviour

  There are certain business practices that harm competition and are against the law. It is important that businesses involved in agricultural supply chains understand their rights and obligations when dealing with wholesalers, suppliers and other businesses.

• 
  Business rights & protections

  Agricultural businesses, including farms, have rights and protections under the law. If, for example, a good or service purchased by your business does not do what it is supposed to do, or you have entered into a contract containing unfair terms, the ACCC wants to hear from you.

• 
  Collective bargaining

  The ACCC has for many years authorised small business collective bargaining arrangements - allowing groups of small businesses/farms to negotiate with larger businesses. Some examples include groups of chicken growers, dairy farmers and vegetable growers. We aim to offer a simple process for parties seeking authorisation of collective bargaining arrangements.

• 
  Industry codes

  The ACCC regulates mandatory and voluntary industry codes including the Horticulture Code, the Wheat Port Code and the Food and Grocery Code. We can provide guidance to agricultural industries looking to develop their own voluntary code. Voluntary codes set out specific standards of conduct for an industry and can reduce regulatory burden.

• 
  Mergers

  Mergers and acquisitions that would have the effect, or be likely to have the effect, of substantially lessening competition in a market are against the law. When the ACCC conducts a public merger review, we seek comments from interested parties, which can be done confidentially.

• 
  Infrastructure regulation

  The ACCC’s role is to provide effective regulation where a market is not functioning competitively. This includes regulation of certain monopoly industries and monitoring other markets where competition is limited. We have, for example, specific functions in relation to water and the conduct of bulk wheat port terminal operators.

Agriculture consultative committee

The ACCC established an Agriculture Consultative Committee in 2016. The Committee helps inform the Unit and the broader ACCC on issues affecting the agriculture sector that fall within the scope of the Competition and Consumer Act 2010.

Events and consultations

We hold a range of forums in regional areas with targeted industry sectors to:

• discuss concerns and share information about supply chain competition and unfair trading issues
• learn about rights and responsibilities under the Act and how to engage effectively with the ACCC.

Past events

• ACCC dairy inquiry farmer consultation forums
• Cattle and beef market public consultation forums
• Horticulture and viticulture regional workshops

Recent consultations

• Queensland Cane Growers Organisation Ltd
• China National Chemical Corporation - proposed acquisition of Syngenta AG
• DowDuPont Inc - proposed acquisition of EI du Pont de Nemours and Company and The Dow Chemical Company

Contact

Agricultural Unit

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