ACCC sues Sunny Queen and 11 suppliers over alleged egg cartel

The Australian Competition and Consumer Commission (ACCC) has filed a civil case in the federal court against Sunny Queen, Australia’s largest egg supplier, and eleven other producers for alleged cartel conduct. The regulator claims the companies engaged in anti-competitive behavior for at least six years, dating back to at least October 2020.

The ACCC alleges the businesses coordinated on production volumes, distribution, expansion plans, and the culling of chickens to manage perceived oversupply. This coordination reportedly covered the supply of free-range, cage, and organic eggs. The watchdog stated that these actions likely substantially reduced competition and potentially drove up prices for consumers.

Among the companies named in the legal action are Hall, McLean Farms, Ellerslie Free Range Farms, and Kinross Farm. ACCC chair Gina Cass-Gottlieb described the alleged widespread conduct as “extremely serious.” Sunny Queen has denied the allegations of coordinated production and distribution.