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ARTICLE · 25 MAY 2021

Support for local businesses: a good idea, but watch those fish hooks

Can councils establish a Buy Local policy that favours businesses just down the road over those outside their borders?

AustraliaGovernment, Public Sector

Who doesn't love supporting their local businesses? It's a powerful driver for not only individuals, but also business owners and managers.

But what about councils? Can they establish a "buy local" policy that favours businesses just down the road over those outside their borders, and if so what are some things to consider?

Acts that come into play when considering this question include the Competition and Consumer Act 2010 (Cth), the Fair Trading Act 1987 (NSW) and the Local Government Act 1993 (Act). "Tendering Guidelines for NSW Local Government", issued in October 2009 (Guidelines), must also be considered and, in some circumstances, even some international trade agreements may also come into the frame.

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The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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