Key Points
- A recent quarterly survey of supermarkets found that Australians would be better off seeking out better deals when shopping.
- While IGA is Australia’s most expensive supermarket, it is also the only option for many people, advocates say.
- Advocates also told SBS that many people in Australia do not have enough money to buy the food they need.
A quarterly survey of supermarkets has found that Australians need to shop more often and look for better deals as grocery prices continue to rise. But advocates say many people in Australia don’t have the access or resources to buy the groceries they need.
According to the consumer advocacy group, the government has pledged to provide Choice with $1.1 million over three years to conduct a quarterly survey of supermarkets.
Aldi was the cheapest supermarket, with an average of 14 items purchased. Customers paid $50.79 for these items, down from $51.51 three months earlier.
The same basket of items cost $68.37 at Woolworths – $3.44 more expensive than three months ago, while prices of the same items at Coles fell by $2.30 to $66.22 over the same period.
The most expensive supermarket was IGA, at $78.95. Advocates say this is an affordability issue as it is the only option for many Australians.
IGA has more than 1,400 stores nationwide, with a focus on regional areas. Woolworths has more than 1,100 and Coles has more than 850. Meanwhile, Aldi has 595 stores in Australia, but none in Tasmania or the Northern Territory.
Louise Giolitto is the Chief Executive of the Western Australian Council of Social Service (WACOSS).
She told SBS News that prices could skyrocket for customers in remote areas and have a “devastating impact on families”.
“Often in many small towns, like Onslow, there is only an IGA. The prices get even higher as you go into regional Western Australia and the further north you go.”
“What we are hearing, particularly from regional WA, is that food insecurity is one of the biggest issues. People are actually going hungry.
“They don’t have food, they can’t afford their medicine, they can’t afford their vehicle registration, they can’t afford their insurance.”
Groceries are more expensive in regional areas
The Northern Territory Government’s latest grocery price report shows the average grocery basket was 26 per cent more expensive in remote stores in 2023.
A healthy shopping basket that meets government guidelines costs 40 percent more in remote stores than in supermarkets.
Choice’s report found that people in Western Australia pay an average of $1 more for a basket of groceries than in other states and territories.
According to Giolitto, research by WACOSS shows that grocery costs in the Kimberley are more than 7 percent higher than in Perth.
“If you live in regional Western Australia, you are 30 per cent more likely to be food insecure. This is purely due to the higher costs of living in those areas, such as extra petrol and housing,” the researcher said.
Simon Miller, CEO of Anglicare, told SBS News that demand for charity food services in the region is greater than ever because access to food in the region is “exceptionally difficult and expensive”.
“We have just opened a new food bank in the town of Boggabri in the New South Wales region.
“Although it is a small community, the demand is huge. In fact, it is one of the most visited food banks of all the services we offer,” he said.
Demand for Anglicare food parcels tripled last year.
Some Australians cannot afford to buy basic necessities
Graeme Hughes, consumer expert and director of executive education at Griffith University, said: “Many Australians are struggling to put food on the table.”
“Consumers are definitely struggling with what’s in the budget and what’s out of it. They’ve had increases everywhere, in utilities, insurance, rent, mortgages, and food as well. So they’re really considering what’s in the budget and what’s out of it on a weekly and monthly basis,” he said.
Miller said Choice’s advice to shop around and look out for deals was “very helpful for a lot of people” but that “some Australians can’t afford to shop at all”.
He said his organization often “hears stories of parents skipping meals so their kids can eat, or people who are protein deficient.”
“They may be living on bread or carbohydrate-rich foods instead of being able to afford meat, eggs or dairy products. So they are essentially suffering from malnutrition.”
In total, the government has set aside $8.9 million over the 2023-24 period to improve scrutiny of supermarket pricing practices. This will be done through an Australian Competition and Consumer Commission investigation into supermarket practices and Choice’s price tracking.
Prime Minister Anthony Albanese said today’s Choice report “provides important information for consumers, but we know more needs to be done. We are committed to taking action to ensure Australians get the best possible deal.”
Choice CEO Ashley de Silva told SBS World News that consumers can still look for discounts at the supermarkets they normally shop at, even if they can’t shop everywhere else.
She gave tips such as: “Look at the unit prices so you can properly compare products of different sizes.”
“[People can also] Replace fresh fruit and vegetables with frozen and canned products and try out some private labels with curiosity, because we often notice that they perform better than national brands.”
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