Australian vegetable supplier fined $12m for price fixing

Summarised from 2 outlets · Updated 26 Oct, 04:01 · Archive

Perfection Fresh agreed to pay $12 million for breaching competition law by fixing prices of vegetables supplied to Aldi.

Perfection Fresh admitted on Monday to breaching competition law 11 times between 2019 and 2020 by fixing prices of broccoli, cauliflower and iceberg lettuce supplied to Aldi in New South Wales. The supplier has agreed to pay a $12 million penalty and establish a compliance program, subject to Federal Court approval.

The Australian Competition and Consumer Commission alleges that suppliers made arrangements to fix prices of multiple green vegetables instead of competing with each other. ACCC chair Gina Cass-Gottlieb said: "Cartel conduct, whether by co-ordinating prices or agreeing on terms of bids with competitors, is anti-competitive, and is illegal. Businesses acting together instead of competing can drive up prices and harm consumers."

Cases against three other vegetable suppliers—Hydro Produce, Veli Velisha Fresh Produce and M. Fragapane and Sons—remain before the court. Perfection Fresh, the second-largest fresh vegetable supplier in Australia, said it had fully co-operated with the watchdog and had strengthened its governance and compliance systems.

How it is being reported

• Supplier to pay $12 million fine for veggie cartelA major vegetable supplier has agreed to pay $12 million in fines for allegedly fixing its prices on nine separate occasions in produce sold to Aldi.Perth Now · 26 Oct, 03:34
• Supplier to pay $12 million fine for veggie cartelA major vegetable supplier has agreed to pay $12 million in fines for allegedly fixing its prices on nine separate occasions in produce sold to Aldi.The West Australian · 26 Oct, 03:34

In this story: Perfection Fresh · Australian Competition and Consumer Commission · Aldi · Gina Cass-Gottlieb · Hydro Produce · Veli Velisha Fresh Produce · M. Fragapane and Sons · Australia

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