Coles and Woolworths are among the most profitable supermarkets in the world, according to the final ACCC report into supermarket pricing.
The 441-page report says without sufficient rivals, the market dominance of the big supermarkets will intensify, leading to higher profits but increased prices for consumers.
The government is announcing $2.9 million in funding to help suppliers stand up to the big supermarkets.
The government claims these and other steps will level the playing field for farmers and producers and get a better deal for Australians.
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