Australian Competition and Consumer, Lactalis in Federal Court over milk contract breach allegations

French-owned dairy giant Lactalis Australia has become the first milk processor facing Federal Court penalties for allegedly failing to comply with a host of regulations in the dairy code of conduct. The Australian Competition and Consumer Commission has initiated Federal Court proceedings against Lactalis saying it failed to introduce transparent or fair standard contract arrangements with Queensland dairy farmers last year. The competition watchdog noted Lactalis was one of Australia's largest dairy processors, buying milk from at least 400 farmers in all states for its 80-year-old Pauls milk brand. Lactalis also owns the Oak, Ice Break, Vaalia, Tamar Valley, President and Lemnos flavoured milk, yoghurt and cheese brands. The ACCC claims refer to provisions of the dairy code introduced in January 2020 and, if proven in court, will see the regulator seek penalties, injunctions, legal costs and a corrective advertising order imposed against the company. Lactalis's actions ...