Environment groups have presented further information on alleged profiteering by beverage companies under container deposit schemes, at the Senate Inquiry in Adelaide.
“Coke, Lion and Schweppes have a case to answer and the Senate Inquiry will be calling them to account. Industry submissions contain a lot of vague excuses for high wholesale prices but they have not presented any concrete evidence or financial records. We’ve surveyed retailers in the NT and got actual data – and the results confirm our first report released in August and which gave rise to this Senate Inquiry,” said Dave West, National Policy Director for Boomerang.
“The Food and Grocery Council’s case against a national container deposits system is based on the assumption that the highest prices in the NT will occur nationally. However it is becoming increasing clear that these prices where they exist are artificially high because certain companies are not reinvesting the millions of dollars of unredeemed deposits and unused handling fees. Instead they are keeping them as profit.”
“In a further blow to the AFGC’s assertions about household budget impacts based on the assumption that all beverage prices will rise by 20cents – industry submissions to the Inquiry now admit that actual consumer prices are often much lower. We have also found evidence that some bottlers (eg, Fosters, Coopers) are playing fair and aren’t passing on expensive gross costs. This means that the AFGC’s extravagant claims are complete nonsense.”
“The Boomerang model for a modern, low cost and efficient CDS is currently being assessed by environment ministers. It won’t have the potential to be rorted by the beverage companies and will not impact on consumers who redeem their deposit,” Mr West said.
More info: www.boomerangalliance.org.au
