More supermarket retailers have promised the competition watchdog to end a practice which stops rival chains from opening in the same shopping centre. 

Aldi, Franklins, SPAR Australia, Australian United Retailers and Metcash have agreed with the Australian Competition and Consumer Commission (ACCC) that they won't enter into any new leasing agreement with restrictive provisions.

In the case of existing supermarket leases, it will not enforce any restrictive provisions beyond five years after the commencement of trading.

This follows similar agreements reached with Australia's biggest supermarket operators, Wesfarmer owned Coles and Woolworths in September last year.

The retail giants promised the ACCC they would no longer insert restrictive provisions in supermarket leases and 80 per cent of shopping centre deals favouring the two companies were abolished.

The ACCC says these new argreements will enable greater competition.

"These further agreements with the next tier of supermarket operators mean that many more shopping centres will no longer be hamstrung by restrictive provisions in leases that prevent or hinder the entry of competing supermarkets," ACCC chairman Graeme Samuel said in a statement.

FW Holst retail anaylst David Spry said consumers would benefit from the agreements and no major impact on any retailer's profitabilty.

"I don't think it would have a major impact on profitability as I see it," Spry said.

I suppose the only time it may if it came close to one of the better performing stores and took a little bit of the cream off that in each individual store.

"Overall on a group basis it probably won't be material."

"It's a win for the consumer's, there's no question about that."

As with the agreements reached with Coles and Woolworths, these further agreements are in the form of court enforceable undertakings which have been voluntarily provided.

The ACCC said it remained committed to addressing any remaining concerns and will do so on a case-by-case basis.

©2010AAP