The Commerce Commission has received a number of complaints about pricing in the dairy retail sector.

The Commission is making preliminary enquiries in order to determine whether to open an investigation, under any of the Acts for which the Commission has jurisdiction.

Until these enquiries are completed the Commission has no further comment.

Background

Relevant Acts

Dairy Industry restructuring Act (DIRA)

Under the DIRA, the Commission's role is limited to dealing with issues relating to specific provisions and is one of adjudication and enforcement. A key purpose of the DIRA is to ensure access to raw milk by independent processors at an appropriate, regulated price.

The Commerce Act

The Commission can investigate a range of anti-competitive practices under the Commerce Act. These include collective behaviour (such as price-fixing), and unilateral behaviour (such as taking advantage of market power.)

The Commission can also undertake a price control inquiry under Part 4.

The Fair Trading Act

Under the Fair Trading Act the Commission investigates issues of false or misleading information.