By Tess Gilfedder and produced for online by Kristy McMahon

Consumer lobby group Choice has welcomed a Federal Government inquiry into why digital downloads cost more in Australia than in many other countries.

Spokesperson for Choice Magazine Ingrid Just says they have received many examples of digital products that in some cases cost up to 50 per cent more when being downloaded in Australia.

Ms Just says businesses are telling consumers some of the reasons behind the extra costs relate to servicing a smaller economy, but she says this should not be an issue.

“But really with a digital product where you can access or purchase it from anywhere you are in the world we are wondering as to whether those costs are being used as a means to justify those price differences,” she says.

Ms Just says this inquiry will as least start to shine a spotlight on the fact this is an issue consumers are starting to become frustrated with.