Peter Hendy (Eden-Monaro, Liberal Party) Share this | Link to this | Hansard source

My question is to the Minister for Small Business. Will the minister outline to the House the response to the government's new Food and Grocery Code and how it will protect small businesses who supply the major supermarkets? Are there any threats to its effectiveness?

Bruce Billson (Dunkley, Liberal Party, Minister for Small Business) Share this | Link to this | Hansard source

I thank the member for Eden-Monaro. He is a great advocate for small businesses in his community, and that is why he sees the great value of the Food and Grocery Code. The Food and Grocery Council itself described the day the code was introduced as a historic day. There has been a lot of discussion and a great deal of concern expressed in the community, and even among members in this place, about the conduct of big retailers and big wholesalers towards small suppliers in the food and grocery space. There was a time when Labor actually thought this was interesting. The now shadow Treasurer made the point of saying at the time that 'smaller operators have issues and Labor's grocery inquiry is looking through those issues'.

He said they were 'looking through'—talk about looking at nothing! That was in 2008, when Labor expressed an interest. And what happened? Absolutely nothing. Nothing was achieved by Labor. Nothing was demonstrated as a constructive step forward. Nothing could be characterised as an historic day; it was just a whole lot of nothing.

What we have seen is a need to get on with this work. We have done that and we have delivered the food and grocery code. The ACCC chairman Rod Sims said, quite rightly, 'The new code makes it clear that no matter how much bargaining power a retailer holds, they must deal fairly with the suppliers.' That is what the code seeks to deliver, not just because that is good for the small businesses that are suppliers to the retailers, but because it looks after the consumers as well. If certain behaviour was to continue, and without the code to keep that conduct on track, the consumers would be disadvantaged. Who would invest? Who would make the innovations to give new choice and new opportunities to consumers? And that is why this code has been received in an overwhelmingly positive way.

Food South Australian said:

It should lead to the ongoing sustainability and viability of the Australian food industry because if our food companies continue to be screwed, there won’t be a food industry.

COSBOA said that this is a big step forward. For ACCI, Kate Carnell, said:

The Code of Conduct sets a sensible framework for the relationship between suppliers and retailers.

We have not heard from those opposite. Where are you guys on this position? Where is Labor? They said they had an interest in this back in 2008. We have now got a disallowance period, where the worst outcome could see Labor stand in the road of the introduction of this important step forward. It was a historic day, a great piece of progress and this government delivering once again. And after saying something about it back in 2008 we now have silence from Labor. Why don't you just get behind the good work of the coalition to give small businesses an opportunity to grow and prosper in this economy rather than sit back, carp and complain, and add nothing to supporting energising enterprise in this economy?

Tony Abbott (Warringah, Liberal Party, Prime Minister) Share this | Link to this | Hansard source

I ask that further questions be placed on the Notice Paper.