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 Anne RabbitteAnne Rabbitte (Galway East, Fianna Fail) | Oireachtas source

I am grateful for the opportunity to speak at this committee, as I am not a member. As I know it has been a long evening, I will not delay the witnesses. I thank them for their presentations. I was taken aback by what Mr. O'Leary said earlier about a difference of opinion. What we see in the market is very different from what the farmers see. We talk about the 80,000 farm families. Throughout today's meeting, I felt the commentary from the Competition and Consumer Protection Commission was more corporate based than family farm based. Based on the witnesses' presentation, they seem to be more on the side of corporate governance than on the side of the small family farm.

Given its role, I would have thought the CCPC would be far more balanced and fair in its presentation but this is not what I have picked up. I picked up that it was there for the corporate side.

I am very confused by the fact there has been no prosecution whatsoever in the sector. Why has the CCPC permitted producer groups operating outside the producer organisation legislation to go unchecked? Why is a blind eye turned and what else is being ignored by the CCPC? Perhaps Mr. McHugh will answer this.

Why are factory owned and controlled feedlots at arm's length permitted when international opinion is that the nature of such feedlots is considered to be market influencing? Is price signalling acceptable to the CCPC? Has it analysed Meat Industry Ireland as a facilitator for price arranging? These are the questions that predominantly drove farmers to the point of frustration that led to the pickets last August and continued the frustration that almost brought the industry to a complete halt because it was felt there was a lack of intervention by the CCPC.

One of the witnesses said the CCPC could do with regulatory powers regarding sectoral regulation and mediation. The CCPC had an opportunity to mediate in the first and second rounds of talks. Deputy Fitzmaurice spoke about the base price. The CCPC had every opportunity to meet the various farming organisations in a mediation role to discuss base price but it chose not to do so. To think the CCPC has never once had a prosecution while it has facilitated a beast to grow out of control that is choking the rural Irish small farmer. It is unbelievable. It is absolutely shocking that people think farmers can work at 50 cent below the cost of production and survive and live. That is not right. That is not industry. What the CCPC is doing is pushing them out. Perhaps the witnesses will answer some of these questions.

I have another question on Europe, if the Chairman does not mind allowing me back in afterwards.

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