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Aldi is a goodie, say Waterloo locals

In the current economic climate it is important that consumers be provided a variety of price-based choices in local supermarkets. This argument has been cited by residents with respect to the proposed construction of an Aldi store in Waterloo reports Laura Bannister in the South Sydney Herald of August 2009.

If approved by Council, the store would be situated at 863-871 Bourke Street, between Philip and Danks streets. 

The Aldi chain utilises cost-cutting to benefit consumers. Most of its products are own-brand labeled, all aisles remain undecorated and shelves consist merely of boxes stacked with products and replenished accordingly. 

Councillor Irene Doutney has been involved in the mediation process between residents and Council as they deliberate over the introduction of the discount retailer to the area.

Ms Doutney believes the appeal may lie in the proximity of the proposed store to large NSW Housing complexes. “Choice claims that Aldi products are between 30-40 per cent cheaper than Coles or Woolworths, so I would have thought it would be a gain for local low-income earners,” she said. 

Despite the German-based origins of the retailer, Ms Doutney believes the need to purchase staple items at a low, competitive price could prove more important to consumers than loyalty to Australian chain stores.

“The more affluent residents from that area can probably afford to go to other supermarkets or specialty stores in Danks Street if they so choose, [but] for people on low incomes, the rising cost of living makes price the major factor in making their shopping choices. I would have thought the brand becomes insignificant … and that the behaviour of the two major supermarkets would not inspire trust or support from locals – such as cheap petrol if you spend over $30.” 

Diane Whitworth has been a resident of Waterloo for 27 years and confirms that many locals struggle with the minimal range of shopping choices. “I don’t shop in the area. A lot of people go outside [Waterloo] to shop, but sadly some people can’t afford to and have no choice.” 

Member for Heffron, Kristina Keneally, is a strong advocate of an Aldi store, commenting on the REDWatch website that increased grocery stores in South Sydney would break the market monopoly and place downward pressure on prices. “[This would have] a particular benefit in an area with high density of both public and private rental housing.”

Despite the need for variety, Council had received 11 submissions against the development. These were predominantly focused on traffic concerns. Cr Doutney also admits concerns, but over Aldi’s personal business principles and their political implications. “I have concerns that the Aldi chain may not support a unionised workforce but this is a matter of personal principle and does not relate to the DA.”

Waterloo residents are encouraged to send their views about the Aldi store, or the proposed IGA supermarket in Redfern to be located at the new Souths Leagues Club to Council officer Mr Luke Murtus at lmurtas@cityofsydney.nsw.gov.au or via post at City of Sydney, GPO Box 1591, Sydney NSW 2001.  

The proposal for the Aldi store, as well as a possible IGA supermarket in Redfern at the new Souths Leagues Club is available at www.cityofsydney.nsw.gov.au under the 'Development' section. 

Photo: Ali Blogg - Keen Aldi shopper, Diane Whitworth

Source: South Sydney Herald August 2009 www.southsydneyherald.com.au