Consumers buying plain milk from supermarkets were paying an average of 22 cents (E0.10) per litre less in the six months following deregulation, according to a report by the Australian Competition and Consumer Commission (ACCC).
Reduced fat and low fat milk prices also decreased by E0.03 and E0.05 respectively across all pack sizes and brands from June to December 2000. These products make up 81% of all milk sold in supermarkets.
However, the price of UHT milk increased by an average of E0.05 per litre, while the cost of flavoured and speciality milks increased by E0.08 and E0.02 per litre respectively.
ACCC chairman Allan Fels said: