Competition and Consumer (Industry Codes—Food and Grocery) Regulations 2024
34Fresh produce
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34 Fresh produce
Standards or quality specifications (1) A large grocery business must provide any fresh produce standards or quality specifications to a supplier in clear, unambiguous and concise written terms. Such standards or quality specifications must be reasonable.
Civil penalty:
(a) for a contravention by a body corporate—3,200 penalty units; or
(b) for a contravention by a person who is not a body corporate—640 penalty units.
(2) Without limiting subsection (1), in determining the reasonableness of standards or specifications for a kind of produce, regard must be had to whether the same standards or quality specifications apply to all suppliers who supply that kind of produce to the large grocery business. Fresh produce to be accepted (3) A large grocery business must accept fresh produce delivered in accordance with a grocery supply agreement.
Civil penalty:
(a) for a contravention by a body corporate—3,200 penalty units; or
(b) for a contravention by a person who is not a body corporate—640 penalty units.
(4) Subsection (3) does not apply in relation to a delivery of fresh produce if: (a) the produce fails to meet relevant fresh produce standards or quality specifications; and (b) the large grocery business rejects the produce within 24 hours after the produce is delivered to the large grocery business; and (c) the large grocery business does not reject the produce after the large grocery business has accepted the produce. (5) If a large grocery business rejects fresh produce because it does not meet relevant fresh produce standards or quality specifications, the large grocery business must provide written reasons for the rejection to the supplier within 48 hours.
Civil penalty:
(a) for a contravention by a body corporate—3,200 penalty units; or
(b) for a contravention by a person who is not a body corporate—640 penalty units.
Labelling, packaging and preparation requirements (6) A large grocery business must communicate any labelling, packaging or preparation requirements for fresh produce to a supplier in clear, unambiguous and concise written terms.
Civil penalty:
(a) for a contravention by a body corporate—3,200 penalty units; or
(b) for a contravention by a person who is not a body corporate—640 penalty units.
(7) A large grocery business must provide a supplier with reasonable written notice of any required changes to packaging, labelling or preparation standards for fresh produce (unless the change is required immediately by law) taking into consideration existing stock held by suppliers (where known) and any agreement as to stock coverage in the relevant grocery supply agreement.