Oireachtas Joint and Select Committees

Tuesday, 1 October 2019

Joint Oireachtas Committee on Jobs, Enterprise and Innovation

Competition Law and Trade Associations: Discussion

Photo of Michael FitzmauriceMichael Fitzmaurice (Roscommon-Galway, Independent) | Oireachtas source

It was reported as European.

Why are we not doing that when there is suspicion? I accept it may be unfounded.

Ms Goggin spoke about the large operator and the smaller operator. Does the commission ever look at procurement? The National Parks and Wildlife Service, NPWS, has a procurement process for re-wetting peatlands. A guy with one digger, a laptop and bad broadband coverage is at a distinct disadvantage to a civil engineering company. The guy with the one digger is not let into the game. This is the way the procurement process has gone but nothing has been examined.

The commission has looked at POs, producer organisations. It can talk about bonuses and so forth. However, it was unusual to see how exercised the commission got when a farmer was trying to get a fair price. Before that, not a word was said.

I note the commission met different organisations. Did it meet Meat Industry Ireland? I am a farmer in the west. I cannot be sure of getting €4 from Glanbia and I am not sure about buying a calf. Why is the competition loaded against me because of where I live? Why will the commission not examine that? This was highlighted by Deputy Cahill, although he was of the understanding that what was going on was not fully legitimate.

Many people in the agricultural community have lost faith in the Competition and Consumer Protection Commission. They do not want to hear about it because they have been absolutely disgusted over the past six weeks of what has gone on. The commission spoke about more powers. Where does it see more powers working?

Taking the point about mushrooms raised earlier, one would have to look at it if it was driven out of business. If a product’s price goes below the price of production, what will happen? The conglomerate will go the distance. Has the commission looked at the VAT rate for feedlots, for example? There is legislation in place for it. It is alleged in the chicken industry that feedlot prices are inflated. Has the commission examined these issues? Agriculture is at a crossroads. In fairness, the farming organisations were trying to deal with the issue. Five people getting €10 with a €2 profit and are going to give €8, I cannot understand how I can discuss that with them in the line of a base price. It is not price fixing but price reality. It is price necessity and price survival.

It was the greatest farce ever. One can give a bonus to a great worker at Christmas. It is like the employer not being able to talk to the employee or the employee asking for more money. There is a disgust out there. What more powers will give the commission the teeth required to dig into some of these large conglomerates? Now 80,000 to 100,000 family farms are at risk over the mess that is going on. To be quite blunt, the commission is no addition to it.

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