When does National believe a successful company has become too big to enjoy property rights, freedom of contract and the protection of the rule of law?
Foodstuffs has about 55% of the supermarket sector. It is far from being a monopoly.
If it is when a business is so big that it prevents competition, that is not what the Commerce Commission has found.
The Commission has found the barriers to supermarket competition include planning restrictions and restrictive land and lease covenants. Those barriers are being removed.
The Commission says new competitors are entering and expanding.
The Commission has not recommended the breakup of Foodstuffs.
The National apologist cites the breakup of Telecom as a precedent.
It isn’t.
Telecom separated its network business, Chorus, so it could participate in the Government’s rollout of fibre.
No previous National government has ordered the dismantling of a lawful business.
Christopher Luxon says National’s proposed breakup of a successful New Zealand owned co-op has been thoroughly investigated.
By whom?
The only evidence I know of in favour of the proposal is the polls.
Poll-driven parties do not have conservative principles.
They are populist.
If it is when a business is so big that it prevents competition, that is not what the Commerce Commission has found.
The Commission has found the barriers to supermarket competition include planning restrictions and restrictive land and lease covenants. Those barriers are being removed.
The Commission says new competitors are entering and expanding.
The Commission has not recommended the breakup of Foodstuffs.
The National apologist cites the breakup of Telecom as a precedent.
It isn’t.
Telecom separated its network business, Chorus, so it could participate in the Government’s rollout of fibre.
No previous National government has ordered the dismantling of a lawful business.
Christopher Luxon says National’s proposed breakup of a successful New Zealand owned co-op has been thoroughly investigated.
By whom?
The only evidence I know of in favour of the proposal is the polls.
Poll-driven parties do not have conservative principles.
They are populist.
The Honourable Richard Prebble CBE is a former member of the New Zealand Parliament. Initially a member of the Labour Party, he joined the newly formed ACT New Zealand party under Roger Douglas in 1996, becoming its leader from 1996 to 2004. This article was sourced HERE
8 comments:
I think nats have got caught up in the communist chaos of the greens and tpm. Shame on them. I think the greens even thanked luxon last week, what does that tell you.
We are just a step or two away from total communism folks. We have the dangerous far left greens and tpm getting far too much positive air time while the center parties nzf, act and Nats only get negative press.
It was only last week that the greens were talking of 'taking ' the supermarkets. Like true commies do.
Remember the basic tenants of communism: take all private property, create fear, control the media, control the education narrative, promote state terrorism, heavy taxes......labour, greens tpm.
We saw it under ardern.the policies coming from the left are truly dangerous. Get your bags ready good people. We are skating on very thin ice.
What a pity Chris Penk was unsuccessful eh? 🤦♂️
National must be getting so much grief from its donors and members, they just must be.
I keep thinking a U turn is coming, or maybe they will use the commerce commission as the U turn.
An inefficient market is at odds with economics 101. Come on, Act, do at least a little bit of reading before putting pen to paper.
Food for an individual or family is totally and absolutely controlled by the individual or family concerned . FACT.
Individual choice cannot be compromised by advertising , price or availability if the choice from supermarket is rejected and you legally grow and gather your own food . FACT
Therefore if you haven't the inclination , skill, management or wherewithal all to harvest your food requirements , then learn to purchase , cook and budget from the supermarket choices available in NZ .FACT
So now being against crony capitalism is communism? Oh how far the Overton window has moved.
Supermarket duopoly is a failed market. We cannot even entice Aldi to set up shop.
A split is not communism. It’s what market regulators are supposed to do when there is a lack of competition.
The outcry show just how used to we have got to the NZ style of rent extraction that we call “business”.
National only came up with this idea because “Something must be done” about grocery prices, and all the other ideas had already been taken so this one was the only ‘something’ left with which to appease the masses.
Post November the idea will be quietly forgotten
SOOO, we have National wanting to 'break up the Food Industry'.
How about they "break up" Air NZ and return out internal airline back to a functioning entity, that serves NZ (just like NAC did) till it was 'sold off' to TEAL, who became Air NZ.
If they think that food prices are high then look at pricing for flying within NZ, money that is then "wasted" by Air NZ Board, which ends up with an annual deficit.
Or maybe get a more proficient person to be Minister of Finance.
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