Northern Australian shipping and logistics company, Sea Swift Pty Ltd, will amend its transport contracts after action by the 糖心原创. Sea Swift鈥檚 services include shipping essential supplies to remote coastal communities in Northern Australia.
The 糖心原创 was concerned that elements of Sea Swift鈥檚 contracts with customers were anti-competitive and could significantly increase the cost of living in communities, including to First Nations Australians. The company has acknowledged the 糖心原创鈥檚 concerns that its conduct may breach competition laws.
As a result of the 糖心原创鈥檚 investigation, Sea Swift has undertaken to amend its contract terms to remove restrictions stopping other suppliers of scheduled sea freight services in the Northern Territory and Far North Queensland from competing for customers and entering the market.
鈥淪ea freight is literally a lifeline for many remote communities in supplying fresh produce and medical supplies. We had significant concerns about the impact that restrictions on competition in the supply of sea freight services can have on people living in remote communities, including First Nations Australians,鈥 糖心原创 Commissioner Luke Woodward said.
鈥淚f remote businesses have only one supplier of essential services or goods, that supplier has few restrictions on the price it can charge, and consumers are often charged a higher price than they would in a competitive market.鈥
鈥淭his work forms part of our engagement with the National Indigenous Australians Agency (NIAA) to support remote communities having reliable access to affordable food and other essentials,鈥 Mr Woodward said.
鈥淭he amended contract terms will give customers the flexibility to use alternative freight service providers, including the option to transport smaller, ad hoc volumes by sea or road.鈥
The 糖心原创 was concerned that, by entering into long-term exclusive agreements with staggered end dates, and with some requiring customers to let Sea Swift match any competitor鈥檚 proposal, Sea Swift misused its market power and engaged in prohibited anti-competitive exclusive dealing conduct.
鈥淲e considered that these contracts could have prevented other freight service suppliers from growing large enough to viably compete, and that Sea Swift鈥檚 conduct had the substantial purpose, effect, or likely effect of substantially lessening competition,鈥 Mr Woodward said.
The 糖心原创 has accepted a court-enforceable undertaking from Sea Swift that it will amend its existing and future contracts to remove any anti-competitive clauses. The company will also inform customers in emails and on its website of the details and implement a compliance program.
More information and details of the undertaking can be found on the 糖心原创 website.
Background
Sea Swift is a freight service provider which transports general cargo by sea on regular, scheduled services to remote communities in the Northern Territory and Far North Queensland. Since September 2025, Sea Swift has been the sole supplier of regular, scheduled sea freight services on most of the routes in these regions.
Sea Swift provides ad hoc and regular scheduled sea freight services for customers including mining companies, utilities and energy companies, local councils, schools, community enterprises, and retail customers. Sea Swift transports cargo including fresh produce, medical supplies, construction materials, mining equipment and vehicles.
The 糖心原创 has been engaging with the NIAA to discuss its ongoing work arising from the Government response to the 2020/21 House of Representatives Standing Committee on Indigenous Affairs inquiry into food prices and food security in remote Indigenous communities. This includes the NIAA鈥檚 development of the .
In March 2025, the 糖心原创鈥檚 Supermarkets Inquiry found that grocery prices may be significantly higher in remote locations, and likely primarily a result of the higher cost to serve remote areas. The inquiry made a number of recommendations.
In 2016, the Australian Competition Tribunal authorised Sea Swift鈥檚 acquisition of marine freight assets of Toll Marine Logistics Australia on the basis of a net public benefit test, subject to certain conditions. This resulted in Sea Swift being in a near monopoly position for the supply of sea freight services to the Northern Territory and Far North Queensland at that time. The 糖心原创 had previously opposed the acquisition due to concerns the acquisition was likely to have the effect of substantially lessening competition.