The ACCC has decided not to object to a collective bargaining notification lodged by Highlands Potato and Ag on behalf of itself and 11 current and any future potato growers from the Central Highlands region of Victoria.
Under the notification, the potato growers propose to collectively negotiate with potato processors, including large international processors such as McCain Foods Australia, and are also permitted to negotiate with other potato processors who may enter the market in future. The notification provides immunity from competition laws, as joint negotiation by a group of competitors risks breaching these.
The ACCC considers the proposed conduct is likely to result in public benefits in the form of information sharing efficiencies, transaction cost savings and enabling the growers to have better input into contracts. There are likely to be limited, if any, public detriments.
The ACCC has decided to allow this notification to remain in force for a period of 10 years (until 12 August 2029), instead of the default period of 3 years. Further information about the ACCC’s decision and Highland Potatoes and Ag’s application is available on the public registers at: Highlands Potatoes and Ag Incorporated.