The Woolworths group, which includes Big W, said a “decline” in interest in the retail items was behind their removal from shelves.
Now, Dutton has hit out at the retail giant.
”I think it’s up to customers whether they want to go in and buy the product or not. If they don’t want to celebrate Australia Day, well that’s a decision for them, but I think people should boycott Woolworths,” he told Nine’s 2GB radio.
“Other companies haven’t done it (stopped selling Australia Day merchandise) and on that basis, I think Australians should boycott Woolworths.
“I think (Woolworths chief executive) Brad Banducci should come out and announce that he’s reversing the decision.”
Are you planning on buying Australia Day-related merchandise this year?
Woolworths said it will still sell Australian flags at Big W, which it does year-round.
”We don’t have any additional themed merchandise available to purchase in-store in our supermarkets or BIG W ahead of Australia Day,” a Woolworths Group spokesperson said.
“At the same time there’s been broader discussion about 26 January and what it means to different parts of the community.”
Rival retailer Coles said it would continue to sell Australia Day merchandise.
“We are stocking a small range of Australian-themed summer entertaining merchandise throughout January which is popular with our customers for sporting events such as the cricket and tennis, as well as for the Australia Day weekend,” a spokesperson said.