Australians are paying double for essentials—here’s what the government is doing about it

The cost of everyday essentials has been a growing concern for many Australians, but for some, the price gap is far more extreme than most realise.

What seems like a routine grocery run in one part of the country can turn into an overwhelming financial burden elsewhere.

Now, a new government plan aims to address this long-standing issue—but will it be enough to make a real difference?


Prime Minister Anthony Albanese pledged to address the stark price disparities faced by Australians in remote communities.

He vowed to match the cost of essential goods with those in major cities.

During his Closing the Gap statement on 10 February, he detailed plans to lock in city pricing for 30 essential products across 76 remote stores.


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Albanese vows to cut remote grocery costs. Image source: Wikipedia


His commitment followed a report by consumer advocacy group CHOICE.

The report found that First Nations communities in Western Australia and the Northern Territory were often charged more than double for groceries compared to urban areas.

To strengthen supply chains, Mr Albanese also announced an expansion of warehouse capacity.

‘We are also tackling issues of access to affordable food in remote communities,’ he said, as reported.

‘Food insecurity can have serious health impacts, including cardiovascular and kidney disease.’


The list of essential products covered under this initiative includes flour, milk, canned tuna, rice, bread, beef, chicken and eggs.

It also includes some fresh produce, toilet paper, nappies, toothbrushes, toothpaste and menstrual products, according to the national broadcaster.

In November, CHOICE highlighted the staggering cost gap.

It revealed that a set of nine essential grocery items cost $99.38 in four remote First Nations communities across the Great Sandy Desert, the Pilbara, the West Daly region and the Tiwi Islands.

The same items were priced at just $44.70 in major supermarkets such as Woolworths, Coles, Aldi and IGA in capital cities.


Back in 2020, the price of frozen lamb loin chops in Palm Island, a remote Indigenous community in far north Queensland, sparked public outrage.

They were priced at $82.27—almost double the average cost at the time.

Australians living in remote areas often pay more than twice as much for groceries as those in metropolitan regions.

Last week, the Albanese government secured an $842.5 million funding agreement to enhance service delivery for Indigenous communities in the remote Northern Territory.

This record-breaking federal investment, spanning six years, is set to generate approximately 570 jobs, with over 270 designated for First Nations Territorians.


Since taking office, Labor has prioritised advancing Closing the Gap targets.

These targets encompass 17 socio-economic goals aimed at improving health, safety and housing outcomes for Indigenous Australians.

While most targets are set for completion by 2031, only a handful have seen substantial progress, and several have been revised since the initiative was first introduced in 2008.


Watch the video below to learn more.



Key Takeaways
  • The Albanese government pledged to address extreme price disparities in remote communities by matching the cost of essential goods to city prices and expanding warehouse capacity to improve supply chains.
  • A CHOICE report revealed that First Nations communities in WA and the NT often pay more than double for groceries, with a 2020 incident highlighting the issue when lamb chops in Palm Island were priced at $82.27.
  • A government initiative will lock in city pricing for 30 essential products, including staple foods and hygiene items, across 76 remote stores.
  • The government also secured an $842.5 million funding deal to improve service delivery in the NT, creating 570 jobs, as part of ongoing efforts to meet Closing the Gap targets, though progress has been slow.

Have you or someone you know experienced the high cost of living in these areas? Share your thoughts in the comments below.
 

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