Oireachtas Joint and Select Committees

Tuesday, 21 April 2015

Joint Oireachtas Committee on Agriculture, Food and the Marine

Horticulture Sector: Irish Farmers Association

2:00 pm

Photo of Thomas PringleThomas Pringle (Donegal South West, Independent) | Oireachtas source

I thank Mr. Foley and his colleagues for their presentation. It is good to see people are willing to come and outline the problems. We had hearings throughout 2013 on the grocery goods sector and it was stated during those hearings that people were reluctant to come forward and discuss the problems because of the fear of retribution from the multiples if they made their views known.

Mr. Foley said in his presentation that the value of the horticultural sector is small in terms of overall agricultural output, but the number of people employed is significant, indicating the industry is labour intensive. If the horticultural sector were lost to us, the impact would be greater than the loss of the products themselves. In the hearings we had in 2013, all of the multiples were adamant that they do not ask suppliers to contribute to the cost of promotions. They were also adamant that they do not include this requirement in contracts with suppliers. Will the delegation outline for us the type of conversation that takes place if a multiple is putting on a promotion? What do they say to suppliers in terms of price, is it included in supplier contracts that they must participate in these promotions, and is a price variation fixed in those contracts? What would the reaction be if a supplier indicated he could not afford to or refused to participate in a promotion? What reactions have been experienced by the sector's members from multiples in this regard?

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