Tasmania prepares for potential third major supermarket entrant

As Tasmanians navigate the aisles of their local Coles and Woolworths, many wonder if their grocery bills could be lighter.

The current supermarket duopoly in the state has long been a topic of discussion, with concerns that it limits competition and keeps prices high.

But there's a glimmer of hope on the horizon, as talks of introducing a third major player into the market could revolutionise the grocery game in Tasmania.


The idea of a new supermarket contender isn't just wishful thinking; it's gaining traction at the highest levels of state politics.

Tasmanian Premier Jeremy Rockliff has expressed openness to the idea.

This statement comes amid growing concerns about the cost of living, with many Tasmanians feeling the pinch at the checkout.


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Tasmanian Premier Jeremy Rockliff shows openness to more supermarket competition if demand exists. Credit: Shutterstock


Jacqui Lambie Network MP Andrew Jenner is championing the push for a third major supermarket, highlighting the potential for significant grocery savings.

‘This is huge and could be the difference between having three or one meal daily,' he said.

‘Will your Government take the initiative and help introduce supermarket competition into the state to help alleviate the cost-of-living pressure that so many Tasmanians are currently facing?’


According to Jenner, Tasmanians could miss out on up to 30 per cent in savings due to the lack of competition.

In a passionate plea in parliament, Jenner underscored the gravity of the situation, stating that for some, this could mean the difference between having three meals a day or just one.

‘In terms of supermarket competition, we would welcome further competition if there was a market for that,’ Rockliff said.

‘We have the duopoly, as it’s called, and we have other IGAs across Tasmania.’

‘If there is a third player to come in that boosts that competition, then we would welcome that initiative.’


The call for a feasibility study into bringing a third major player to the state, backed by a proposed $1 million in the recent state budget, is a clear sign that the issue is being taken seriously.

Such a study would explore the viability of a new entrant and could lead to more affordable groceries for Tasmanian consumers.
Key Takeaways

  • Tasmanian Premier Jeremy Rockliff has indicated openness to more supermarket competition if there is a market for it.
  • Tasmania's supermarket sector is currently dominated by a duopoly of Coles and Woolworths, potentially costing Tasmanians significant grocery savings.
  • Jacqui Lambie Network MP Andrew Jenner argued that increased competition could greatly alleviate cost-of-living pressures for Tasmanians.
  • Jenner has called for a feasibility study and suggested introducing a third major player could boost competition in the state's supermarket sector.
How do you feel about the current supermarket options in Tasmania? Would you welcome a third major player? Share your experiences and opinions in the comments below.
 
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They need some competition down there as the prices of everything is ridiculous. Us mainlanders whinge about the prices but poor Tasmanians have to just deal with what is there. They have very little competition in their daily everything.
 
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They need some competition down there as the prices of everything is ridiculous. Us mainlanders whinge about the prices but poor Tasmanians have to just deal with what is there. They have very little competition in their daily everything.
You do get used to it when you live in Tassie but I do find the lack of competition rather frustrating. Another supermarket would be great but I’m not expecting it to happen anytime soon. I think that’s why I’ve turned into an online shopper, along with a lot of others who reside in Tasmania. Another thing that annoys me with people here is that a lot of them expect top rate services wherever they live because we can’t be expected to drive a few kilometres to get there, let alone pay for parking when they get there. It’s a beautiful state and certainly worth a visit, but living here is different.
 
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