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General Line Grocery Wholesaling in Australia - Market Research Report (2015-2030)

Jayson Cooke Jayson Cooke Melbourne, Australia Last Updated: May 2025 ANZSIC F3601

Revenue

$31.5bn

2025-26

$32.3bn

Past 5-Year Growth

Profit

$XXX.Xm

Employees

11,773

Businesses

683

Wages

$XXX.Xm

General Line Grocery Wholesaling in Australia industry analysis

Long-term shifts in vertical integration and the rise of supermarket-owned supply chains have reshaped the general line grocery wholesaling landscape. Major chains like Coles, Aldi and Woolworths aggressively leverage scale to undercut independent wholesale prices, intensifying competition and squeezing profit margins. Pandemic disruptions further complicated performance by shuttering or limiting dine-in food services, though pent-up demand helped fuel a partial rebound. Inflationary pressures on produce, meat and dairy prompted operators to pass on costs to preserve margins. However, oversupply in select livestock segments has recently forced prices downwards, showcasing these markets’ volatility and hurting revenue. Overall, industry revenue is anticipated to have risen at an annualised 0.4% over the past five years and is expected to total $31.5 billion in 2024-25, when revenue will drop by an estimated 1.1%.

Trends and Insights

  • The industry has faced rising input prices over the past five years due to supply chain disruptions. Wholesalers have largely been able to pass these costs on downstream, limiting the impact on margins.
  • Private-label goods are a strong source of competition for wholesaled goods. Pre-packaged foods and dairy produce are particularly susceptible to price competition from private-label items.
  • Victoria is home to a disproportionately high number of general line grocery wholesalers relative to its share of population. The Port of Melbourne is a substantial point of trade for international goods, attracting wholesalers.
  • Metcash’s scale-driven approach cements its position as a leading grocery wholesaler. By leveraging extensive market connections and serving independent retailers, it achieves significant economies of scale in a moderately concentrated industry.
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Industry Statistics and Trends

Market size and recent performance (2015-2030)

Industry revenue has grown at a CAGR of 0.4 % over the past five years, to reach an estimated $31.5bn in 2025.

Trends and Insights

Wholesalers are passing on heightened purchase costs to buyers amid price hikes

  • Wholesalers operate on high-volume, low-margin strategies to generate sales and profitability. Over the past five years, broad price inflation across items like fruit, vegetables, meat and dairy has incentivised operators to pass on added input costs, preserving slender profit margins.
  • Additional trends and insights available with purchase
General Line Grocery Wholesaling in Australia
Revenue (2015-2030)
IBISWorld Logo Source: IBISWorld

Industry outlook (2025-2030)

Market size is projected to grow over the next five years.

Trends and Insights

Rising prices and cost-of-living constraints are escalating competition, forcing wholesalers to juggle margins and volume

  • Steady domestic price growth is poised to drive short-term wholesale revenue gains, with products like meat, vegetables and fruit all set to climb in price. Some of these hikes stem from supply scarcity following recent natural disasters, like Cyclone Alfred and flooding along the eastern seaboard. Meat prices are also expected to climb due to strong export demand, especially for Australian cattle. In January 2025, the ABS reported a year-on-year price increase in fruit and vegetables, up 7.0%, and meat and seafood, up 4.7%. Both of these were higher than the CPI rate, which was 2.5%.

Biggest companies in the General Line Grocery Wholesaling in Australia

Company
Market Share (%)
2025
Revenue ($m)
2025
Metcash
11,212.1
PFD Food Services
2,845.7
Bidfood
2,798.3

To view the market share and analysis for all 3 top companies in this industry, view purchase options.

Products & Services Segmentation

General Line Grocery Wholesaling in Australia
Products & Services
IBISWorld Logo Source: IBISWorld

Industry revenue is measured across several distinct product and services lines, including Meat, poultry, fish and smallgoods, Dairy produce and Fruit and vegetables. Meat, poultry, fish and smallgoods is the largest segment of the General Line Grocery Wholesaling in Australia.

Trends and Insights

Meat, poultry, fish and smallgoods wholesaling revenue endures due to price increases despite consumption trends

  • Wholesaling meat, poultry, fish and smallgoods accounts for grocery wholesalers' biggest income stream. Processed meats and smallgoods are relatively easy to distribute to large retail networks, whereas unprocessed meats are usually supplied by specialised wholesalers outside the industry.
  • More insights available in the full report

Table of Contents

About this industry

Industry definition

Industry operators wholesale a range of general groceries to a variety of markets, including supermarkets, convenience stores and food-service establishments. The industry includes firms that wholesale at least three of the following grocery lines: meat, poultry and smallgoods; dairy produce; fish and seafood; fruit and vegetables; liquor or tobacco; and confectionery or soft drinks.

What's included in this industry?

Products and services covered in the General Line Grocery Wholesaling industry in Australia include Meat, poultry, fish and smallgoods, Dairy produce, Fruit and vegetables, Liquor and tobacco, Pre-packaged foods, Beverages, Cosmetics, Prepared Meals and Toiletries.

Companies

Companies covered in the General Line Grocery Wholesaling industry in Australia include Metcash, PFD Food Services and Bidfood.

Purchase this report to view all 3 major companies in this industry.

Related Terms

Related terms covered in the General Line Grocery Wholesaling industry in Australia include wholesale bypass, food-service establishments and independent retailer.

Industry Code

ANZSIC 2006

ANZSIC 3601 - General Line Grocery Wholesaling in Australia

Performance

Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.

Analyst insights

The industry has faced rising input prices over the past five years due to supply chain disruptions. Wholesalers have largely been able to pass these costs on downstream, lim...

In this chapter (4)

  • Current Performance
  • Outlook
  • Volatility
  • Life Cycle

Key metrics

  • Annual Revenue, Recent Growth, Forecast, Revenue Volatility
  • Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
  • Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
  • Total Profit, Profit Margin, Profit per Business

Charts

  • Revenue, including historical (2015-2024) and forecast (2025-2030)
  • Employees, including historical (2015-2024) and forecast (2025-2030)
  • Businesses, including historical (2015-2024) and forecast (2025-2030)
  • Profit, including historical (2015-2025)
  • Industry Volatility vs. Revenue Growth
  • Industry Life Cycle

Detailed analysis

  • Trends in supply, demand and current events that are driving current industry performance
  • Expected trends, economic factors and ongoing events that drive the industry's outlook
  • Key success factors for businesses to overcome volatility
  • How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.

Products and Markets

Learn about an industry's products and services, markets and trends in international trade.

Analyst insight

Private-label goods are a strong source of competition for wholesaled goods. Pre-packaged foods and dairy produce are particularly susceptible to price competition from priva...

In this chapter

  • Products & Services
  • Major Markets

Key metrics

  • Largest market segment and value in 2025
  • Product innovation level

Charts

  • Products & services segmentation in 2025
  • Major market segmentation in 2025

Detailed analysis

  • Trends impacting the recent performance of the industry's various segments
  • Innovations in the industry's product or service offering, specialization or delivery method
  • Key factors that successful businesses consider in their offerings
  • Buying segments and key trends influencing demand for industry products and services

Geographic Breakdown

Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.

Analyst insights

Victoria is home to a disproportionately high number of general line grocery wholesalers relative to its share of population. The Port of Melbourne is a substantial point of ...

In this chapter (1)

  • Business Locations

Charts

  • Share of revenue, establishment, wages and employment in each region
  • Share of population compared to establishments in each region in 2025

Tables

  • Number and share of establishments in each region in 2025
  • Number and share of revenue each region accounts for in 2025
  • Number and share of wages each region accounts for in 2025
  • Number and share of employees in each region in 2025

Detailed analysis

  • Geographic spread of the industry across Asia Pacific, and trends associated with changes in the business landscape
  • Key success factors for businesses to use location to their advantage

Competitive Forces

Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.

Analyst insights

Metcash’s scale-driven approach cements its position as a leading grocery wholesaler. By leveraging extensive market connections and serving independent retailers, it achieve...

In this chapter (4)

  • Concentration
  • Barriers to Entry
  • Substitutes
  • Buyer & Supplier Analysis

Key metrics

  • Industry concentration level
  • Industry competition level and trend
  • Barriers to entry level and trend
  • Substitutes level and trend
  • Buyer power level and trend
  • Supplier power level and trend

Charts

  • Market share concentration among the top 4 suppliers from 2020-2025
  • Supply chain including upstream supplying industries and downstream buying industries, flow chart

Detailed analysis

  • Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
  • Key success factors for businesses to manage the competitive environment of the industry.
  • Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
  • Key success factors for potential entrants to overcome barriers to entry.
  • Competitive threats from potential substitutes for the industry’s own products and services.
  • Key success factors for how successful businesses can compete with substitutes.
  • Advantages that buyers have to keep favorable purchasing conditions.
  • Advantages that suppliers have to maintain favorable selling conditions.
  • Key success factors for how businesses can navigate buyer and supplier power.

Companies

Learn about the performance of the top companies in the industry.

Analyst insights

As this is a mature industry, many major grocery wholesalers have turned to acquisitions to artificially stimulate growth. Wholesalers like Bidfood Australia and OPFD Food Se...

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2021 through 2025
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2025
  • Overview of Metcash's performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of PFD Food Services's performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of Bidfood's performance by revenue, market share and profit margin from 2019 through 2025

Detailed analysis

  • Description and key data for Metcash, and factors influencing its performance in the industry
  • Description and key data for PFD Food Services, and factors influencing its performance in the industry
  • Description and key data for Bidfood, and factors influencing its performance in the industry

External Environment

Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.   

Analyst insights

Wholesalers tend to benefit from free trade agreements, as they can lower the cost of receiving goods. Australia has a number of beneficial free trade agreements with other c...

In this chapter

  • External Drivers
  • Regulation & Policy
  • Assistance

Key metrics

  • Regulation & policy level and trend
  • Assistance level and trend

Charts

  • Regulation & Policy historical data and forecast (2015-2030) 
  • Assistance historical data and forecast (2015-2030) 

Detailed analysis

  • Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
  • Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
  • Key governmental and non-governmental groups or policies that may provide some relief for industry operators.

Financial Benchmarks

View average costs for industry operators and compare financial data against an industry's financial benchmarks over time. 

Analyst insights

Major wholesalers are expanding their store networks and adopting digital B2B platforms to stay profitable. By broadening retail footprints and streamlining supply chains, th...

In this chapter

  • Cost Structure
  • Financial Ratios
  • Key Ratios

Key metrics

  • Profit margin, and how it compares to the sector-wide margin
  • Average wages, and how it compares to the sector-wide average wage
  • Largest cost component as a percentage of revenue
  • Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio

Charts

  • Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
  • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
  • Investment vs. share of economy

Data tables

  • Cash Flow & Debt Service Ratios (2015-2030)
  • Revenue per Employee (2015-2030)
  • Revenue per Enterprise (2015-2030)
  • Employees per Establishment (2015-2030)
  • Employees per Enterprise (2015-2030)
  • Average Wage (2015-2030)
  • Wages/Revenue (2015-2030)
  • Establishments per Enterprise (2015-2030)
  • IVA/Revenue (2015-2030)
  • Imports/Demand (2015-2030)
  • Exports/Revenue (2015-2030)

Detailed analysis

  • Trends in the cost component for industry operators and their impact on industry costs and profitability 

Key Statistics

Industry Data

Data Tables

Including values and annual change:

  • Revenue (2015-2030)
  • IVA (2015-2030)
  • Establishments (2015-2030)
  • Enterprises (2015-2030)
  • Employment (2015-2030)
  • Exports (2015-2030)
  • Imports (2015-2030)
  • Wages (2015-2030)

Top Questions Answered

Unlock comprehensive answers and precise data upon purchase. View purchase options.

What is the market size of the General Line Grocery Wholesaling industry in Australia in 2025?

The market size of the General Line Grocery Wholesaling industry in Australia is $31.5bn in 2025.

How many businesses are there in the General Line Grocery Wholesaling industry in Australia in 2025?

There are 683 businesses in the General Line Grocery Wholesaling industry in Australia, which has grown at a CAGR of 6.8 % between 2020 and 2025.

How may import tariffs affect the General Line Grocery Wholesaling industry in Australia?

The General Line Grocery Wholesaling industry in Australia is unlikely to be materially impacted by import tariffs with imports accounting for a low share of industry revenue.

How may export tariffs affect the General Line Grocery Wholesaling industry in Australia?

The General Line Grocery Wholesaling industry in Australia is unlikely to be materially impacted by export tariffs with exports accounting for a low share of industry revenue.

Has the General Line Grocery Wholesaling industry in Australia grown or declined over the past 5 years?

The market size of the General Line Grocery Wholesaling industry in Australia has been growing at a CAGR of 0.4 % between 2020 and 2025.

What is the forecast growth of the General Line Grocery Wholesaling industry in Australia over the next 5 years?

Over the next five years, the General Line Grocery Wholesaling industry in Australia is expected to grow.

What are the biggest companies in the General Line Grocery Wholesaling industry in Australia?

The biggest companies operating in the General Line Grocery Wholesaling industry in Australia are Metcash, PFD Food Services and Bidfood

What does the General Line Grocery Wholesaling industry in Australia include?

Meat, poultry, fish and smallgoods and Dairy produce are part of the General Line Grocery Wholesaling industry in Australia.

Which companies have the highest market share in the General Line Grocery Wholesaling industry in Australia?

The company holding the most market share in the General Line Grocery Wholesaling industry in Australia is Metcash.

How competitive is the General Line Grocery Wholesaling industry in Australia?

The level of competition is high and increasing in the General Line Grocery Wholesaling industry in Australia.

Related Industries

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Complementors

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Methodology

How are IBISWorld reports created?

IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.

Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.

IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.

What data sources do IBISWorld analysts use?

Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.

Key data sources in Australia include:

  • Australian Bureau of Statistics
  • Australian Taxation Office
  • Australian Securities & Investments Commission

Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.

These sources include:

  • Industry and trade associations
  • Industry federations or regulators
  • Major industry players annual or quarterly filings

Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.

How does IBISWorld forecast its data?

IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.

IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.

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