Creating Generative Value

Australia has fastest-rising food prices of any major developed nationBy John Rolfe
From: The Daily Telegraph
November 09, 2009 12:01AM

http://www.news.com.au/money/money-matters/australia-has-fastest-rising-food-prices-of-any-major-developed-nation/story-e6frfmd9-1225795572738
Costs Rising

John Rolfe of the Daily Telegraph has reported that “Australia has the fastest rising food prices of any major developed nation”. His claim of rising grocery costs to the tune of 40 per cent are quite alarming given that most Australians are already struggling with the escalating costs of mortgages and fuel. Rolfe notes Australia’s unique and volatile position in comparison to other countries. Australia’s rate of increase is “a quarter quicker than prices have risen in Britain, twice as fast as in France and nearly three times the speed of Germany”
Reasons Why?
Rolfe attributes this trend not to the fodder of usual suspects including drought, the GFC, rising transport costs, recent natural disasters or government influence, instead he squarely points the finger of blame at the unique supermarket duopoly that exists in Australia. University of NSW professor Frank Zumbo’s confirms the main reason is the “cosy” duopoly of Woolworths and Wesfarmers (owners of Coles).
The question that is raised is how a duopoly can continue to exist in an environment where the government is selling out on everything for the sake of the almighty dollar. Privatisation has been an important tool of government in Australia for the past two decades. We need only to look at the sale of prisons, airports, Telstra, water, gas and electricity services to see that nothing is immune.
Australia however has one of the most concentrated grocery markets in the world. The ABS suggests Woolworths and Wesfarmers account for almost 80% of supermarket sales, over 50% of alcohol retail, 44% of petrol retail and 25% of all retail in Australia.
Government Influence
With the governments’ recent shut down of consumer watch dog Choice’s attempt at a Grocery Choice website one wonders what the dollar value is for the government to so blatantly support the duopoly.
The question is how we can as consumers combat this issue. Woolworths and Coles give more shelf space to their own brand items. Name brand products are disappearing off the shelves – with only the top selling items remaining. This means less variety, or choice, and the loss of familiar brands from the aisles. For supermarkets, it creates a shift in bargaining power further down the supply chain; Australian farmers and wholesalers have little choice but to sell through the supermarkets’ own brands and are forced to compete with cheaper, often heavily subsidised, foreign imports.
What can we do?
• Shop at independent grocers and small supermarkets.
• Choose local, independent Australian owned brands, over generic supermarket house brands.
• If you’re buying a home brand, read the label and look for “Product of Australia’ and ‘Made in Australia’’ over imported.

Introducing Your Topic "Why home cooking?"

Cost
The cost of insurance goes up, we start phoning around to compare prices and change companies. The cost of fuel goes up we drive around or get the latest phone app to tell us where to fill up this week. The grocery bill goes up…………….we moan and groan about trying another grocery store next week if we get the time. Groceries are one of the largest weekly expenses for most families. How much is your weekly shopping bill………….don’t forget all those things like a coffee on the way to work, mid week Japanese take away, it all adds up. So maybe this is great experiment to try out for your-self. How much money can you actually save if you were to move away from takeaways, processed foods and last minute panic grocery buying?

Having an idea of what is in the pantry and freezer at the beginning of the week may sound a bit obvious but it’s surprising how many people get stuck buying things they already have at home when they are in a flap at the grocery store. (At one stage I had 15 cans of baked beans in my pantry).

Having a repertoire of quick and easy recipes that you can cook with your eyes closed is also important. Write them down somewhere. Photocopy the recipe that inspired your version and paste them all into the one book and title it DINNER IDEAS.



Health

This is a no brainer; home cooking is simple, usually made from things like real ingredients. It’s fresh, so you know what is missing - preservatives, additives, colours, unnecessary amounts of salt, sugar and fat. All those things that go into pre prepared meals and concoctions to make them last longer on the shelves. They assault our taste buds and generally insult us as consumers. There are lots of great sites with helpful information about adapting a healthier life. The theory is that if you eat healthy food with a minimum of processing, like fruit, vegetables and whole grains this will help reduce your caloric intake and your weight which in turn can help to minimize health problems. I prefer to look at the positives but if are interested in some of the more disturbing information regarding the commercial food industries there is a mountain of information about what is going on.

Social
Dinner can become a time to gather round and connect with your family and friends. To me fast food usually means fast eating. I rush to the take away place to grab it, I rush home before it gets cold, I throw it on the table and by the time I have put out some napkins and glasses it’s all over. A real meal takes a little time and a bit of care. People come to the kitchen to see how it’s progressing; there is the possibility of a nice glass of wine while dinner simmers or perhaps the kids can set the table while you talk about the weekend.