Australian Competition Watchdog to investigate claims behind Kaufland exit | Progresiv
The competition watchdog will investigate allegations major fresh food suppliers planned to withhold supply to German retailer Kaufland in fear of reprisal from Coles and Woolworths. 
Suppliers have alleged a formal or informal agreement between leading fresh food companies, including fruit and vegetable suppliers, to withhold supply from Kaufland was one of the factors contributing to its shock decision to withdraw from Australia before opening its first store.
"It's Masters all over again," said one supplier, referring to the decision of major hardware brands to not supply Woolworths' failed home improvement chain for fear of being kicked out of market leader Bunnings.
"They declared their allegiance to the existing customer base," he said.
"Kaufland realised it was a game they couldn't win in the short term – they would have looked at ten years of losses."
Australian Competition and Consumer Commission chairman Rod Sims vowed to investigate the allegations and called on people with knowledge of the situation to come forward.
"We'll definitely have a look at this," Mr Sims told The Australian Financial Review.
"Agreements between competitors not to supply certainly raises cartel concerns and the law is pretty clear on this," he said. "Even if it's less than [cartel behaviour] you can also deal with it now under concerted practices."
"We would be extremely keen to talk to anybody who has any information about this, we have very sophisticated processes for protecting the identity of anyone who does come forward," he said. (www.afr.com)
