Australia news LIVE: ACCC puts ‘most profitable supermarkets in the world’ on notice; Israeli strikes kill dozens in Gaza

Now that the ACCC’s report has detailed the extent of the supermarket duopoly, and how Coles and Woolworths have become two of the most profitable grocery stores in the world, what should be done to improve the situation for Australian consumers?

The report makes 20 recommendations, many of them around price transparency and customer notifications of changes to products like shrinkflation, and ALP president Wayne Swan agrees that “a lot more sunlight … and scrutiny” is needed.

“[That’s] why the government has commissioned this report,” the former federal treasurer said.

“It shows what every consumer knew back at the end of 2022, 2023, that they were price gouging. And now the government has to put in place a whole set of rules and regulations and scrutiny, which can ensure that this never happens again.”

Swan added that he thought it was “all the more disgusting” that the major supermarkets took advantage of the inflationary surge to increase their prices.

Read our story on the report here.

Australia’s major supermarket chains are among the most profitable in the world, a damning report into the sector has declared, as the competition watchdog warns they have failed to pass on the full benefit of cost savings during the cost-of-living crisis.

The Australian Competition and Consumer Commission report shows that without more substantial rivals, the stranglehold enjoyed by Coles and Woolworths over the nation’s shoppers will intensify, delivering them higher profit margins.

Here’s an extract from the (very lengthy) report:

Aldi, Coles and Woolworths appear to be among the most profitable supermarket businesses globally.

Coles’ and Woolworths’ market shares are increasing and they face no rivals of comparable scope and scale. In an oligopolistic market structure such as this, they have little incentive to beat each other on price.

If the market shares and associated market power of Coles and Woolworths continue to increase in the future, their margins as a percentage of grocery prices can also be expected to continue to grow.”

New Israeli strikes have hit several homes and killed at least 58 Palestinians across the Gaza Strip, three hospitals reported on Thursday.

The European Hospital said it received 36 bodies after the overnight strikes, mostly women and children. The Nasser Hospital in Khan Younis received seven and transferred four to European, which were included in its count. In northern Gaza, the Indonesian Hospital said it had received 19 bodies after strikes in the town of Beit Lahiya, near the border.

It comes as Israel said it had begun a limited ground operation in Gaza on Wednesday, with troops returning to some positions outside population centres and officials vowing further pressure unless Hamas releases its 59 remaining hostages.

Read more about the latest airstrikes here.

Hello and welcome to the national news blog. Thanks so much for joining us. I’m Josefine Ganko, and I’ll be your guide through the morning’s news.

It’s Friday, March 21.

Here’s what’s making news this morning.

• Australia’s major supermarket chains are among the most profitable in the world, a damning report into the sector has declared.
• The Liberal Party has not used the word “nuclear” in any of its 24 paid ads running on social media, according to our exclusive report.
• Opposition Leader Peter Dutton has expressed regret for using the term “limp-wristed” to describe Prime Minister Anthony Albanese’s response to the Chinese navy’s recent circumnavigation of Australia
• Abroad, Israeli strikes continue to hit Gaza, killing at least 58 Palestinians in their homes on Thursday.