Document ID: chunk:federal_register_of_legislation:F2021C00201:clause:1_27a
Version: federal_register_of_legislation:F2021C00201
Segment Type: clause
Provision Reference: sch 1 cl 27A
Character Range: 40229–42109

27A  Price increases
 (1) This clause applies if:
 (a) the retailer or wholesaler has a grocery supply agreement with a supplier for the supply of groceries; and
 (b) the supplier informs the retailer or wholesaler, in writing, of an increase in the price (the price increase) of groceries supplied under the agreement; and
 (c) if the price increase is in respect of fresh fruit and vegetables that are supplied under the agreement and the agreement includes a mechanism to negotiate on a regular basis the price of those fresh fruit and vegetables—any negotiations about the price increase are not concluded within 5 business days after the supplier informs the retailer or wholesaler of the price increase.
 (2) Within 30 days of being informed by the supplier of the price increase, the retailer or wholesaler must, in writing, notify the supplier whether the retailer or wholesaler:
 (a) accepts the price increase; or
 (b) accepts an increase in the price of the groceries supplied under the agreement but does not accept the amount of the price increase; or
 (c) does not accept the price increase.
 (3) If the supplier is notified of a matter referred to in paragraph (2)(b) or (c), the supplier may request the retailer or wholesaler to enter into negotiations about an increase in the price for the groceries.
 (4) A retailer or wholesaler that enters into such negotiations must engage in the negotiations in good faith and take all reasonable steps to conclude its position on the negotiations without delay.
 (5) The retailer or wholesaler must not require the supplier to disclose commercially sensitive information in relation to the following:
 (a) the price increase;
 (b) negotiations about an increase in the price for the groceries.
Note: Nothing in this clause affects the rights of a supplier to determine the price of groceries that the supplier supplies.