NSW-based produce wholesaler Perfection Fresh is set to pay a $12 million fine for cartel conduct.
The company has admitted to engaging in the conduct and agreed to pay the penalty for its contraventions. The Federal Court will determine whether the proposed penalty and other orders are appropriate at a later date.
Last September, the Australian Competition and Consumer Commission (ACCC) commenced proceedings against Perfection Fresh, three other suppliers and three individuals for price fixing while supplying fresh vegetables to Aldi in NSW.
The ACCC alleged that Perfection Fresh engaged in cartel conduct by fixing the prices of broccoli, cauliflower and iceberg lettuce on 11 occasions between 2019 and 2020.
“Cartel conduct undermines competition and can increase prices, harming consumers and raising the cost of doing business,” said ACCC commissioner Luke Woodward.
“Enforcing cartel laws and protecting competition in the supply of fresh food are ongoing priorities for the ACCC.”
In a statement, the company said it took full responsibility for what occurred and acknowledged it should not have happened. “We deeply regret any impact it may have had on our relationships and are working hard to rebuild trust with our stakeholders.
“We have fully co-operated with the ACCC since becoming aware of the issue and have taken significant steps to strengthen our leadership, governance and compliance systems,” the statement read.
The case against the other suppliers and individuals is ongoing.
