And it will hurt consumers too, as these retailers will pass along all the cost of the Carbon Dioxide tax to the end user – you.
Nervous retailers are calling for an inquiry into how the carbon price will impact on their already struggling industry.
While retailers won't pay the federal government's carbon tax directly, rising costs along the supply chain could place a heavy burden on the industry, the National Retailers Association says.
"We really think the Productivity Commission needs to look at the impact the carbon tax is having on consumers and potentially will have on the retailer as well," Australian National Retailers Association (ANRA) CEO Margy Osmond told reporters in Sydney.
According to ANRA, nearly 40 per cent of Australians have reduced their spending because of uncertainty about the carbon tax.
"It's a particularly tough time for retailers, it's been an excruciatingly tough time for the last 18 months and there is no prospect of a real recovery in spending any time soon," Ms Osmond said.
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