| COLES & WOOLWORTHS - TURF WAR |
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In early March 2011, we as an industry, wrote to Coles and Woolies CEO’s stating that we are concerned that they appeared to be using their market dominance to destabilise the market place. We asked them about whether or not they make disproportionately increased margins from Australian olive oils resulting in higher retail prices, making them less competitive. We also wanted clarification on why they were still stocking major imported brands of Extra Virgin Olive oil that are mislabelled product and are not Extra Virgin? Two Australian government surveys in 2009 and 2010 showed that approximately 80% of imported olive oil labelled as Extra Virgin did not meet specification. In June 2010 Choice magazine identified numerous Extra Virgin olive oils that failed to pass quality tests, mostly imported that are still being stocked and promoted by the major retailers. We didn’t get a response from either Supermarket and therefore issued a press release about the issue. Our Industry (through the AOA) has been asked to join in with other affected agricultural and horticultural industries to look at a combined national approach to this situation. We will participate in a national teleconference of ‘alliance’ members to get the ball rolling, set objectives and create a strategy. This is being organised and headed up by the Australian Egg Corporation. How can you help! We would like to hear from brand owners who believe that the “turf war” and low prices are affecting their business. Please send an email to This e-mail address is being protected from spambots. You need JavaScript enabled to view it describing the specifics of how this situation is affecting your business. |


