Michael Colreavy (Sligo-North Leitrim, Sinn Fein) | Oireachtas source

I thank the witnesses for appearing before the committee. Deputy Martin Ferris normally sits on the committee but he cannot be with us today and apologises for his absence. He asked me to substitute for him today. I know that he is deeply concerned about this issue.

Where do I begin? The meat industry exists to make a profit for shareholders, and there is nothing wrong with that provided it is done fairly, within the accepted laws of commerce and principles of good faith. I know from talking to farmers in my area of the north west that they feel that factories have a monopoly. They encouraged them to produce a particular product at a point in time but then said they no longer wanted that precise product but agreed to take it off their hands at a cheaper price because they wanted something different. Those farmers have been put to the pin of their collar, and in some cases beyond that, to sustain their farming activities because what they had planned to earn in income from the factories has not been delivered. They feel let down and cheated by the factories. They regard the choices and decisions made by the factories as price control mechanisms created to get a product more cheaply from those producers. The farmers feel they are a captive audience, because they produced what the factories said was going to be needed but have now been told it is no longer needed and that the product will be taken off their hands as a favour but at greatly reduced prices. They feel cheated.

The fundamental problem is that we have a virtually unregulated business scenario in which the law of a monopoly operates. I would like the delegation to convince me that my understanding is flawed. I believe the system is flawed and that there are not enough controls in place. I believe that the producers - the farmers - cannot have certainty to plan for the future in the present environment. I ask the delegation to convince me that my understanding is flawed, if it is so.

I also have a few specific questions, as it is useful to get information in this regard. I do not underestimate the challenge facing those the witnesses represent. Can they describe what connections its members have with factories in Northern Ireland, Britain and the EU? Can it describe the process used to create a specification? One of the complaints we have received is that a specification can be agreed but then changed. Is there a time limit for specifications? Is there a plan B for specifications? Is the meat industry the ultimate designer of specifications?

I was impressed by the statistic quoted by the delegation that the number of retailers listed has increased from 27 in 2001 to more than 75 in 2014. How does the industry negotiate the listings with retailers?

Does the industry understand the reason the primary producers, the farmers, need certainty in terms of planning for stocks, stock levels and stock types for a medium term future? If it accepts that they need that certainly can the industry suggest ways where that certainty could be made a partnership approach between the industry and the primary producers?