In a major blow for conventional pork production, Coles is phasing out the sale of pork at its in-house butcheries that is sourced from piggeries using sow stalls, and aims to be fully "sow-stall free" by 2014.
But Australian Pork Ltd says the move is "unhelpful" to the process of change being undertaken by the industry as a whole to address the public's animal welfare concerns.
It is also demanding that Coles apply the same welfare standards to processed pork imported from overseas producers.
Coles general manager of meat, Allister Watson, said "sow-stall free" producers will start supplying sow stall free pork to the Coles Butcher range from 2011.
Coles currently offers sow stall free pork in the Otway, Linley Valley, and KR branded Outdoor Reared ranges.
"Our customers are becoming increasingly interested in welfare issues surrounding pig farming, with the use of sow stalls their greatest concern," Mr Watson said.
"For a number of months now, Coles has been working on plans with our pork producers to phase out sow stalls.
"We are working with our growers to ensure they avoid onerous costs in changing how they raise pigs.
"Changes will therefore take time to complete, but Coles and its suppliers are stepping heavily in the right direction."
But APL chief executive Andrew Spencer said Coles must confirm that it intends to place the same sow-stall free restrictions on imported pork used to make ham and bacon products.
"Currently more than 70 per cent of ham and bacon products are made from imported pork produced in countries such as Denmark, Canada and the US," Mr Spencer said.
"These countries continue to use and have no plan to stop using gestation stalls.
"If Coles believes this move is about animal welfare, then consumers should demand the same standards apply for their ham and bacon products.
"If Coles does not move to do so, the retailer would leave itself open to claims of double standards by Australian consumers and farmers.
"Australian pork farmers adhere to some of the highest welfare standards around the world, as required by the national Model Code of Practice for the Welfare of Animals: Pigs and regulated in states.
"If consumers do want to source pork made from Australian grown pork, especially ham and bacon, they should look for the hot pink Australian Pork PorkMark label. This is a mark that guarantees the pork in the pack or the deli cabinet is Australian grown."
Mr Watson said that Coles has developed its own pork welfare model, as opposed to those set by the industry and the RSPCA, claiming it "will be better for our customers, better for our growers, and most importantly, better for pigs".
Coles says its new pork welfare policy has also delivered Australia’s first private label free range pork products, developed in conjunction with the RSPCA.
Coles Finest free range pork lands in 60 Coles Supermarkets in ACT, NSW and Victoria this week.
The Coles free range pork comes from pigs which are born and raised on RSCPA Approved farms.
RSPCA Australia CEO Heather Neil commended Coles for showing leadership on pig welfare and said the move was the strongest signal yet that sow stalls were no longer palatable to consumers.
"The RSPCA has always said that to have a meaningful impact on pig welfare we need humane pork products on every supermarket shelf across Australia," Ms Neil said.
"To take pork produced from pigs in sow stalls off the shelves of a major retailer is a huge step towards achieving that."