Three Western Australian fruit traders have acknowledged they contravened the Horticulture Code of Conduct, according to the Australian Competition and Consumer Commission.
The traders - Karragullen Cool Storage Pty Ltd, Scamonte Ventures Pty Ltd trading as Scalzi Produce WA, and Brimcove Pty Ltd trading as Etherington - have admitted to contravening the Trade Practices Act by trading in horticultural produce without code compliant horticultural produce agreements and by failing to prepare, publish or make publicly available code compliant terms of trade.
The purpose of the code is to regulate trade in horticulture produce between growers and traders to ensure transparency and clarity of transactions.
It also provides a fair and equitable dispute resolution procedure for disputes arising under the code or a horticulture produce agreement.
The ACCC accepted court enforceable undertakings under section 87B of the Act from each trader that:
* they will not trade in horticulture produce that is subject to the code without having code compliant agreements in place;
* they will prepare, publish and make publicly available code compliant terms of trade;
* at each trader's expense, they will arrange a trade practices law seminar on the code for their management, employees and growers;
* each trader will notify the growers it trades with about the contraventions of the code and provide details of the trade practices seminar; and
* each trader will provide copies of its code compliant agreement and terms of trade to the ACCC within specified timeframes.
ACCC chairman, Graeme Samuel, said the code has now been operational for over a year and that there is now no reason for traders and growers not to comply with their obligations.
"The ACCC will not hesitate to take enforcement action, including proceedings in the Federal Court, against traders and growers who deliberately disregard the mandatory requirements of the code," he said.