Coles Caught Out Not Passing On Full 10 Cents Milk Price Increase To Farmers
They'll pay them back
Coles has been caught out not passing on the 10C per litre price rise they promised would go to farmers.
An ACCC investigation found Coles Group Limited (Coles) failed to pay Norco dairy co-operative the 10 cents per litre it charged consumers for Coles fresh milk – despite claims in Cole’s marketing materials.
They’ll now pay around $5.25 million to Norco for distribution to its dairy farmer members.
The ACCC’s investigation focused on claims that when an unrelated 6.5 cent per litre increase commenced on 1 April 2019, Coles reduced its payments to Norco under the 10 cent per litre retail price increase from 10 cents to 3.5 cents.
Coles dispute the claims.