Treasurer responds to supermarket review with ‘substantial changes’ to merger regime

Treasurer Jim Chalmers will announce “substantial changes” to the merger regime in response to the interim findings of the supermarket review.

The report’s findings recommended against divestiture, and proposed supermarkets and suppliers abide by a mandatory code of conduct which could enforce penalties of up to $5.2 billion for the largest chains.

“This is part of a whole range of actions that we are taking when it comes to competition policy,” Mr Chalmers told media Monday.

“To help put downward pressure on prices, to make sure there’s fairness in our supply chains, and to make sure our economy is as competitive, productive and dynamic as it can be.

“The changes I announce, this will be all about strengthening and streamlining the mergers regime so that we can modernise it and once again so that we can make our economy genuinely more competitive, more productive, more dynamic in the interest of all the Australian people.”

Treasurer responds to supermarket review with ‘substantial changes’ to merger regime