Woolworths, Westfarmers (Coles) and Metcash have company reporting requirements as they are publically listed companies and have a requirement to also ensure ongoing reporting of any events (financial, environmental, social) which may impact on the performance of the company.
These organisations are also required to report environmental breaches as well as any other factors which may impact on their share price or company valuation. These are all part of their ongoing company disclosure requirements.
Such reports is available on the company websites and throigh ASX releases online. It is worth taking time to see the information available, but not on Aldi asâŠ
Aldi, being a privately owned, wholly foreign owned company has no such reporting requirements and the only real way to know if for Aldi to release the information publically. As such it does not.
There have been many reports on the corporate structure of Aldi to minimise its corporate and tax obligations in Australia. Here is one in the SMH. There are many more from other reputable sources such as Bloomberg if you google them. They do similar in other countries.
Also, donât make assumptions of others in relation to where and how they shop. Yes, we do shop at Woollies for basic staples but not for our main fruit, vege or meat shop. The reason why we shop at Woollies is it is within a short walk of where we live and would rather shop at Woollies than burn fuel and spend time going to the next alternative supermarket (which is about 5km away).
Aldi has also been subject to investigations by ACCC due to its supplier contracts. Here is an ABC report and there is also more information on the web. Unfortunately the Australian media has a fixation with Coles and Woollies bashing, it is a local journos sport.
Aldi uses this to their advantage as it is able to slip under the radar with some of its practicesâŠlike underpaying Bangladesh factory workers or farmers which supply its supermarkets. There are other examples if one looks on the web.
Aldi, just like Woollies, Coles etc also requires suppliers to sign agreements which suppliers canât make public due to commercial in confidence. I would like to see requirement for all standard/base supply contracts (which are tge T&Cs attached to a supply agreement but doesnât disclose costs) to be made public to ensure there are no unreasonable or unethical T&Cs. 7ntil this is done, all supermarket contracts should be seen in the same light.
The problem with the Australian supermarket industry (Woollies, Coles, IGA, etc and including Aldi) is the consuner more overly makes decisions based on price rather than quality, country of origin, health implications of food consumed or product ethics.
Until this changes, all supermarkets, including Aldi, will be pushing suppliers for the lowest price they can.
As Choice did find a year or so ago, there is higher Australian products in Coles and Woollies than Aldi. This does ahow that there is a greater opportunity to support Australian farmers and food manufacturing than shopping at Aldi.
Aldiâs use of the Australian flag on imported products blended in Australia (and labelled âMade in Australiaâ) also gets up my goat (I have also seen the other supermarkets are also creeping the Australian flag on similiar products to âcompeteâ). It gives consumers a false inpression that it is Australian product when it isnât. Aldi also promotes Australian product content, but this relates to fresh fruit, vegetables, meat and milk products which canât be imported. The other supermarkets canât import such products either so their Australian farner support is a marketing gimic/spin.
I strongly support proper labelling of food origin which will come in in the coming years as it hopefully will remove this narketing loop hole creeping in across the whole of the industry.
It is Also worth reading Dick Smithâs thoughts on the changes to tge supermarket industry in Australia, and who he believes is responsible.
The other consideration is if you have an industry or retail superannuation fund, then it is highly likely that one owns part of the publically listed supermarkets in Australia.
One needs to consider what is better to support in a industry which is not perfect, one that most have some ownership of, that are predominantly Australian and business models and nature are high employers of Australians and pays its taxes in Australia, or foreign owned ones which show little respect for such things.