Supermarkets must disclose product size changes in Australia

The Australian Competition and Consumer Commission (ACCC) has recommended that supermarkets inform customers when product sizes change. This move aims to address the issue of shrinkflation, where items are sold at the same or higher prices but contain less product. A recent ACCC survey showed that many consumers are concerned about shrinkflation. They reported noticing products getting smaller while prices continue to rise. One shopper noted that packages might appear unchanged but often contain less product. These changes have affected various items, including snacks and chocolates. Under the ACCC's proposal, supermarkets would need to provide clear notices about size reductions. This notification would have to specify the old and new sizes. The ACCC also outlined measures to prevent supermarkets from claiming that size changes make the products new. Major supermarket chains like Coles and Woolworths have acknowledged the issue. Coles mentioned that only a small number of their private label products are affected. Woolworths suggested that product manufacturers should inform customers about size changes but the ACCC disagreed, insisting that supermarkets are ultimately responsible for pricing. Consumer group Choice supports the ACCC's recommendations. A representative highlighted previous findings where several products had decreased in size while prices stayed the same or increased. They believe better information will help consumers make informed shopping decisions. The federal government is looking to strengthen rules around pricing in grocery stores. Treasurer Jim Chalmers has reiterated plans to enhance the Unit Pricing Code to help tackle shrinkflation and improve price comparison between stores. However, some experts, including those from Choice, argue that simply changing unit pricing won't fully solve the shrinkflation problem.