Teresa Nurdi
In 2017, Australian supermarket giant Coles claimed it was possible to feed a family of four for under $10. Today, pantry staples are becoming unattainable, with 700g of Coles’ home brand shredded cheese costing $9.50. In February 2024, Brad Banducci stepped down as Woolworths CEO following a Four Corners interview where allegations of price gouging and unfair practices arose. While Banducci was able to walk out of that interview, Australians have no choice but to walk into grocery stores and face a hefty bill. As prices of grocery items increase, many Australians may wonder whether the federal government can and will intervene to cap rising prices. Broader than the cost of groceries, what rights do citizens have to food that is available, accessible and adequate?
The right to food
Reducing hunger and ensuring the right to food is more than a policy choice or moral duty. It is a human rights obligation. Both the Universal Declaration of Human Rights and the International Covenant on Economic, Social, and Cultural Rights (ICESCR) acknowledge the right to food. All human beings have the right to adequate food, regardless of their race, colour, sex, language, religion, political opinion, or other characteristics.
The right to food involves the right of every person to have physical and economic access to adequate food. It is not merely a right to a minimum number of calories. It is a right to feed oneself in dignity.
The United Nations Committee on Economic, Social and Cultural Rights has affirmed that the right to food has three core elements: food must be available, accessible and adequate. Availability means food should be available for sale, with available resources to produce, obtain or gather food. Accessibility refers to physical and economic access to food, meaning food must be affordable for all. Adequacy means food must be safe for human consumption, culturally acceptable, and satisfy various dietary needs.
Do Australians enjoy the right to food?
The Australian government has signed and ratified the ICESCR, meaning it has obligations to ensure the right to food and facilitate the achievement of food security for all. This does not mean the federal government is responsible for giving free food to anyone in need. Rather, it requires the government to respect, protect and fulfil the realisation of the right to food.
The Food and Agriculture Organisation’s (FAO) Right to Food Guidelines clarify how governments should respect peoples’ right to food by not restricting access to it, and protect this right by ensuring individuals or businesses do not deprive peoples’ access to adequate food. Further, to fulfil the realisation of the right to adequate food, governments should proactively engage in activities to strengthen people’s food security. Food security encompasses physical, social and economic access to sufficient, safe and nutritious food to meet peoples’ needs for an active and healthy life.
The average grocery bill
Amid the cost of living crisis, there has been increased scrutiny of Australia’s food and grocery sector. Former Australian Competition and Consumer Commission (ACCC) chairman, Professor Allan Fels AO, conducted an inquiry into price gouging and unfair pricing practices. In partnership with the Australian Council of Trade Unions, the inquiry revealed dramatic increases in the costs of goods. Between March 2021 and September 2023, the total price of a staple shopping basket rose 15.2 per cent. Over the same period, the price of cheese increased by 27.3 per cent, bread by 24.1 per cent, milk by 22.7 per cent, dairy products by 22.5 per cent, and eggs by 19.7 per cent.
Hunger relief charity, Foodbank, reported how rising inflation and unrestricted increases in grocery items saw 77 per cent of Australian households experiencing food insecurity for the first time in 2023. As more households experience food insecurity, families are making sacrifices that reduce the quality, variety or desirability of their groceries. This meant looking for discounts on grocery items, swapping to cheaper alternatives, or reducing the amount of fresh produce and protein purchases.
Food insecurity and the pressure to make ends meet amidst the cost of living crisis have real consequences, including a ‘heat or eat’ trade-off, increased psychological distress, poorer academic performance, and lower dietary variety and nutrition levels.
What can be done?
As inflation continues to rise and impact grocery prices, the Australian government has a key role in respecting, protecting and fulfilling the realisation of the right to adequate food.
A core challenge lies in companies’ unfettered ability to price items as they wish. The Australia Institute found that corporate profits significantly contributed to inflation between 2019-22. However, corporate profiteering is not illegal, and price gouging remains unregulated and uncontrolled. Without measures for the federal government or its regulatory bodies to intervene to cap rising prices, supermarket giants can and will continue to generate profits of more than $1bn.
To protect and fulfil the realisation of the right to food, it is necessary to investigate pricing practices in the food and grocery sector. An interim report by the Australian Treasury proposed a mandatory code of conduct for supermarkets and greater enforcement powers for the ACCC to pursue breaches. The Senate has also launched a Select Committee on Supermarket Prices to investigate price-setting practices of major supermarkets. The pressure of increased scrutiny and potential fines may hopefully lead to supermarkets voluntarily lowering their prices to a fairer amount. Further, failure to disclose certain financial information may even lead to contempt of court charges.
A broader issue lies in Australia’s highly concentrated food and grocery sector, with Woolworths and Coles accounting for more than 65 per cent of the market. Initiatives to facilitate stronger competition in the grocery sector are key to not only improving the negotiating position of farmers and smaller suppliers but also delivering better prices to consumers. Through robust pro-competition inquiries and policies, the federal government must step up to strengthen and safeguard food security in Australia.
Food for thought
Food is more than an object for profit but an essential to living a dignified, healthy and active life. The time is ripe for the Australian government to take proactive steps to ensure every citizen’s right to available, accessible and adequate food.
Teresa Nurdi was an intern with the Australian Journal of Human Rights in Term 1, 2024.