Oireachtas Joint and Select Committees

Tuesday, 16 October 2018

Joint Oireachtas Committee on Agriculture, Food and the Marine

EU Directive on Unfair Trading Practices: Discussion

3:30 pm

Photo of Willie PenroseWillie Penrose (Longford-Westmeath, Labour) | Oireachtas source

I thank Ms Goggin and her colleagues for their attendance. This is an important matter that has been addressed by this committee and the former Joint Committee on Enterprise, Trade and Innovation over many years. I am very heartened to hear Ms Goggin say that there should be a sectoral regulator because that was recommended in 2010 by the enterprise committee of which I was Chairman but that recommendation was not implemented. The difficulties in regard to the harmonious application of regulations across the EU may have stalled such implementation.

The situation regarding primary producers has been outlined by my colleagues. That is where we must start with this because the primary objective is to reduce the power imbalance which is so obvious in the food supply chain. The definition of "buyer" in the new directive will clearly be significantly wider than that stipulated in the grocery regulations such that anyone who buys agricultural products by way of trade will be classified as a buyer. That is why the CCPC may choose to hand this task over to another body.

There are significant issues of concern. The CCPC has not been very effective - or has it - in ensuring transparency on issues such as hello money, the treatment of perishable products or wastage charges. What has it done within the limited confines of the grocery regulations? Its predecessor, the Competition Authority, was paralysed when it came to such matters, as was discovered by the committee on investigation of the matter. Nothing could be done in regard to several issues, such as anonymous complaints or a person in the limited position of being a supplier or producer of these type of products who came forward with tangible evidence, unless the complainant brought the issue forward themselves. Of course, the fear of victimisation meant that such people did not put their heads above the parapet.

We have spoken a lot about this. It worries me that various committees have addressed the issue but nothing much seems to be done. As Deputy Cahill has said, there is only one loser in this; the primary producer. The retailers and the big wholesalers are almost beyond the pale in terms of trying to bring them to heel. If this is implemented, and if a sectoral regulator is put in place, have the witnesses communicated their comments on this directive? Have they addressed this to the relevant Minister, which is generally in the area of business or enterprise, in order to take steps? I am glad the representatives have it here but have they conveyed it to the other authorities? I am sure this committee will convey it, with the backing of the Competition and Consumer Protection Commission, now that we have it here in black and white. It is something the committee had previously recommended but it was always shot down because of various issues, and perhaps one could understand that if it was just a one country situation. England has its own groceries regulator; have the witnesses examined how that works in the UK and how it might be applied in this country?

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