ABARES/ABARE

Australian Bureau of Agricultural and Resource Economics and Sciences (previously the Australian Bureau of Agricultural and Resource Economics)

ACCC

Australian Competition and Consumer Commission

ACCC Grocery Inquiry

public inquiry conducted by the ACCC in 2008 into the competitiveness of retail prices for standard groceries. The inquiry was instigated by the Assistant Treasurer and Minister for Competition Policy and Consumer Affairs under Part VIIA of the TPA

ADIC

Australian Dairy Industry Council

AFGC

Australian Food and Grocery Council

bargaining group

a group of farmers who bargain collectively rather than individually with a processor

branded milk

milk sold under the processor's brand name

CBC

Competition Bureau (Canada)

CCA

Competition and Consumer Act 2010; legislation governing competition in Australia

collective bargaining

when two or more businesses negotiate a deal for the sale or purchase of products or services with a common customer or supplier

co-operative

processor jointly owned by a group of farmers

cpl

cents per litre

DAFF

Department of Agriculture, Fisheries and Forestry

Dairy Adjustment Levy

an 11 cent levy imposed on milk sales in place from 2000 to February 2009 to fund a deregulation restructure package

Dawson Report

Review of the Competition Provisions of the Trade Practices Act; 2003 report of the Trade Practices Act Review Committee, chaired by Sir Daryl Dawson

DFMC

Dairy Farmers Milk Co-operative

drinking milk

milk sold for drinking as opposed to having been used to make products such as butter, cheese and milk powder

elastic

more responsive to price changes

farm gate price

price paid by processors to farmers

First Interim Report

an interim report of this inquiry released on 20 April 2011

FSANZ

Food Standards Australia New Zealand

generic milk

another term for private label milk

GSCOP

Groceries Supply Code of Practice; a code of conduct that deals with contracts between supermarkets and suppliers in the United Kingdom

Hilmer Report

National Competition Policy; 1993 report of the Independent Committee of Inquiry into Competition Policy in Australia 1993, chaired by Professor Frederick Hilmer

home brand

another term for private label milk

inelastic

less responsive to price changes

Lion Dairy & Drinks

major drinking milk processor; formerly known as National Foods

Milking it for all it's worth

the May 2010 report of the Senate Economics References Committee's inquiry into competition and pricing in the Australian dairy industry

NARGA

National Association of Retail Grocers of Australia; industry body representing independent grocery retailers

PGICAC

Produce and Grocery Industry Code Administration Committee; administers the Produce and Grocery Industry Code of Conduct and consists of key representatives in the produce and grocery industries with an independent chair

predatory pricing

economic concept of when a company sets its prices at a sufficiently low level with the purpose of damaging or forcing a competitor to withdraw from the market. This leaves the company with less competition so it can disregard market forces, raise prices and exploit consumers. In a legal context, predatory pricing is addressed by various provisions within section 46 of the CCA

price discrimination

when a firm charges a different price to different persons or groups of persons for identical goods or services for reasons not related to costs

private label milk

milk sold in supermarkets under the supermarket's brand name

processors

manufacturers who make dairy products from raw milk

RPA

Robinson–Patman Act of 1936, 15 U.S.C. § 13(a); United States law which deals with anti-competitive price discrimination

Second Interim Report

an interim report of this inquiry released on 9 May 2011

supermarket channel

the supermarket or grocery channel are terms used to describe the sale of drinking milk to grocery retailers (a sector dominated by the two main supermarket chains—Coles and Woolworths)

TPA

Trade Practices Act 1974; legislation governing competition in Australia which was renamed the Competition and Consumer Act 2010 on 1 January 2011. See CCA

UHT

ultra high temperature treated milk

UK OFT

Office of Fair Trading (UK)

WCB

Warrnambool Cheese and Butter Factory Company