Grocery chains put heat on suppliers
When Coca-Cola Amatil boss Terry Davis fronts the group’s AGM Tuesday morning he will be asked to explain why a bottle of Coca-Cola costs up to two-thirds more in Australia than Asia.
It is a question one of CCA’s main customers, Coles, asked at the weekend, as the supermarket chains get to the pointy end of negotiations with the Australian Food and Grocery Council (AFGC) to develop a voluntary code of conduct to curb the power of the supermarkets.
It echoes questions from Woolworths last week about global suppliers, who, they argue, earn fat profits by charging Australian retailers higher wholesale prices than they charge retailers in other countries. Sydney Morning Herald – Read more…