Milk - now beer price war

Coles planned to sell branded beer at $28 a carton.
This is bad for consumers in the long term because that below-cost pricing is used as a tactic to drive out independents.

Fosters hit back, refusing to supply beer to Coles & Woolies

[quote]Australia's biggest brewer has confirmed it stopped the delivery of a range of beer brands - including VB, Pure Blonde and Carlton Draught - over the past month.

Foster's says the Trade Practices Act gives it the right to withhold goods if it suspects unfair cost-cutting activity. [url=http://www.abc.net.au/news/stories/2011/03/23/3171105.htm]more[/url][/quote]

3 comments

A little guts on the part of manufacturers is long overdue. Coles/Woolies have become a law unto themselves. They claim to have the customers best interests at heart, but usually, the manufacturer, grower or producer foots the bill. As fwed says, thes "price wars" may be good for customers, but it does "cut the throat" of the smaller independent retailer. When the independents have gone broke, what a surprise, Coles/Woolies put their prices back up.

SOMETHING needs to be done to break their strangle hold on food/alcohol/fuel retailing in this country.

The big 2 will give cheaper prices UNTILL they have complete control then it will be --"like it or lump it" and up go the prices

I agree wholeheartedly with the previous posts. Coles and Woolworths need to be reigned in and quickly. Unfortunately many people will be drawn in and support these dirty tactics. We need to be supporting Aldi's, SuperBarn, FoodPlus and IGA outlets etc. (if they are in your area). The corner shop will probably survive due to the hours they are open and usually appeal because of the ease of access when you are in a hurry. It's the bigger stores who are proving a threat to the Big Two and Coles and Woolies will do anything to bring them down. IGA and SuperBarn support the local community, Coles and Woolies don't.



I do have an issue morally with beer being so cheap - don't we have a big enough problem with alcohol in our society, without making it so accessible.

3 comments



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