Partnering through pressure: Key insights from FGA 2026 with Annette Karantoni
The fast-moving consumer goods (FMCG) sector continues to face a complex web of global supply chain disruptions, macroeconomic shifts, and evolving consumer habits. For the nation’s retail and manufacturing leaders, navigating this landscape requires equal parts resilience, strategic evolution, and deep collaboration.
This was the central theme at Food and Grocery Australia (FGA) 2026, the Australian Food & Grocery Council’s (AFGC) signature industry event held recently at the Sofitel Brisbane Central. Bringing together CEOs and senior executives from across the sector, the two-day conference focussed on actionable strategies to drive the industry forward.
A highlight of the program was an onstage fireside chat between Annette Karantoni, Managing Director of Woolworths Retail, and AFGC Chairperson, Bernie Brookes AM. We have collated some of the key themes from their conversation below and key insights into how Woolworths plans to navigate these industry shifts.
A shared approach to cost pressures & price certainty
Opening the discussion, Bernie Brookes highlighted the compounding headwinds facing Australian shoppers – from low levels of consumer confidence, to global supply chain strains, and the latest domestic interest rate rises. Annette acknowledged the reality of the current climate, noting that 42% of Australians report struggling to make ends meet.
Over the last 12 months, our Lower Shelf Price program has resonated well with customers. The Lower Shelf Price program now includes hundreds of products, and Woolworths will continue to invest in products that matter most to our customers. Additionally when the Middle East war began, Woolworths wanted to provide immediate certainty to shoppers and introduced a three-month Price Freeze on 300 essential Own Brand items from 1 May to 1 August, absorbing rising costs rather than passing them to the checkout. Along with Lower Shelf Prices and Everyday Low Price lines, we will continue to create the best value we can for our customers.
More broadly across the industry, cost pressures and price certainty are creating “push and pulls” felt across the entire supply chain. The conversation turned to the rising input costs – fuel, interest rates, and logistics – impacted by broader economic strains. Annette recognised that farmers, suppliers, and transport partners are facing the same structural pressures as retailers.
Winning the changing digital & health landscape
The fireside chat also explored shifting retail boundaries, noting how non-traditional competitors are capturing share in personal care, vitamins, and bulk staples.
To capture shifting consumer preferences toward ultra-convenience and health, Woolworths is leveraging several key innovations:
;)
;)
;)
;)
;)
;)
Looking ahead: Agentic AI and delivery fleet sustainability
The session concluded with a look toward the structural future of grocery retail, specifically regarding artificial intelligence and sustainability.
Annette shared that moving from predictive AI to advanced Agentic AI, Woolworths’ virtual assistant, Olive, handles hundreds-of-thousands customer interactions monthly. Future tools will include predictive shopping baskets and customised meal planning to anticipate household needs.
Finally, Woolworths is continuing the transition towards an environmentally sustainable home delivery fleet. Following its commitment to operate a 100% electric delivery fleet by 2030, Woolworths has 160 electric delivery trucks and will continue to expand its fleet to meet the target.
Read also
3 min readRedefining ‘Back to School’ for customers
4 min readBeyond the bite: When samples build loyalty