Queensland is launching a parliamentary inquiry into the high cost of groceries and the low prices paid to farmers at the farm gate. 

Premier Steven Miles has confirmed the probe will proceed after holding discussions with executives from Coles, Woolworths, and Aldi.

Mr Miles has expressed his concerns about the widening gap between what farmers earn for their produce and what consumers pay at the checkout. 

"I spoke to them about the experiences of Queensland farmers and the differences in prices between what they’re getting at the farmgate and what Queensland families are paying at the grocery store," he said.

The Premier noted that all major supermarkets had agreed to participate in the inquiry. 

“The supermarkets have also agreed to share more information with us and as much of that information that we can share with Queenslanders, we will,” he said.

Mr Miles was asked if he believed price-gouging was going on in the industry.

“It looks that way to me,’ he said. 

“I've heard these stories first-hand from farmers about how these [supermarket] supplier agreements are driving down farmgate prices right when their costs are going up.” 

The inquiry, yet to finalise its terms of reference, aims to alleviate pressures on household budgets through cooperation with supermarkets, farmers, and growers.