close up of vegetables in market

Tassie callout to Aldi

SKY-ROCKETING prices at supermarkets has renewed calls for a third player to enter the Tasmanian market with Brighton Mayor Leigh Gray adding his voice. Social media has been buzzing in recent weeks about the possibility of Aldi establishing in Southern Tasmania.

The cut-price chain would put downward pressure on prices and increase competition. Mr Gray first approached Aldi in 2008. “I ran a campaign back in 2008 asking Aldi to enter the Tasmanian market,’’ he said. “ It involved a submission to the ACCC enquiry into grocery prices and letters to Government. “They always came back with not at this time. “Of course it’s the big wheel that turns slowly. In his submission to the ACCC, Mr Gray said he was often approached by locals concerned about the rising cost of groceries.

“There is no doubt that battling Tasmanians are struggling with cost of living pressures particularly the increasing cost of groceries,’’ Mr Gray said. He said often Tasmanians paid the highest cost for groceries in the country. “One of the reasons for this, I believe, is the lack of competition in the supermarket sector in Tasmania. “Aldi has more than 150 stores around Australia and there should be no reason why Tasmania should not also present a suitable market opportunity for them and others.’’

The impact of Covid on supply chains, the war in the Ukraine and border closures have all contributed to Australia’s spike in the consumer price index. The Tasmanian market is dominated by Coles and Woolworths, with the smaller IGA offering some compeitition.