The iconic constellation of stars, the Southern Cross, features five stars - Alpha, Beta (also known as Mimosa), Delta, Gamma and Epsilon Crucis - that are 10 to 20 million years old.
The diagonal stripes of the Union Jack have also been reversed on the flag.
On Saturday, a supervisor at the Toowong supermarket said he did not realise the flag design was wrong and did not know how long the flags had been flying.
National Flag Association president Allan Pidgeon commended Coles for flying the flag on Australia Day but recommended that they get it right for ANZAC Day.
"It's great that Coles is showing pride in Australia but I encourage them to make every effort to replace the ones that aren't accurate," Mr Pidgeon said.
"It's a national symbol that must be respectfully treated.
Mr Pidgeon suspected that the flags were manufactured overseas, however the association experienced a similar problem a few years ago when it ordered flags from an Australian supplier that were delivered with the Union Jack reversed.
"It was quite awkward because we wanted to support Australian manufacturers," he said. "It would be very poor form for Coles to fly these flags on ANZAC Day, which is a more solemn day."
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