Richard Bruton (Dublin North Central, Fine Gael) | Oireachtas source

This amendment seeks to include a statement in section 63B(1) to the effect that I, as Minister, should include the importance to and impact on the economic viability and sustainability of primary producers of decisions made at processing and-or retailing level when considering introducing regulations. At the outset, let it be clear that the Government is strongly of the view that it is important to ensure there is a balance in the relationship between the various players in the grocery goods sector and that Ireland continues to have robust agrifood and retail sectors, particularly given the importance of these sectors to the national economy.

Regulation of certain practices in the grocery goods sector is intended to achieve such a balance, taking into account the interests of all stakeholders in the grocery goods sector, including the interests of the consumer and the need to ensure there is no impediment to the passing on of lower prices to consumers. This balance is an important issue. In this context, I recall that section 63B(1)(f) of the Bill gives recognition to the importance of the development and maintenance of a strong, efficient and competitive production and supply base in the grocery goods sector. It is important to note that the introduction of any regulation does not and cannot guarantee anything in regard to the prices received by any given link in the supply chain. Negotiations on price will remain an issue for hard negotiation between contracting parties, as happens in any commercial relationship.

What the new regulations intend to achieve is to regulate certain practices rather than set prices. While I believe the issue raised by the two Deputies is already covered by the text of the Bill, I will reflect on this in the context of Report Stage.