Oireachtas Joint and Select Committees

Tuesday, 5 November 2019

Joint Oireachtas Committee on Agriculture, Food and the Marine

Unfair Trading Practices: Discussion

Photo of Pádraig Mac LochlainnPádraig Mac Lochlainn (Sinn Fein) | Oireachtas source

I apologise for being late but I have read over the presentation. Recently, the Competition and Consumer Protection Commissioner came before the enterprise committee. This was on the back of the beef protest, of which I am sure the witnesses are aware as they will have read the news in the UK. Its representatives acknowledged in their presentation that the body was not equipped to address the issues that arose which led to the crisis and the beef protest in the State and that a regulator, another body and another range of legislation would be needed to address them.

The issue of cartels arises, and in her presentation today, Ms Tacon referred to the UK counterpart of our Competition and Consumer Protection Commissioner. This is where I have concerns. While I have to say the presentation was very encouraging and there is certainly an awful lot we can learn from the model in Britain, frankly, we need to go further. Ms Tacon does not need to engage with me at this point as I just want to give my perspective on this.

The agricultural model we have developed in the European Union, and it is not unique to the European Union because I watched a documentary in recent days about the situation in the United States, is one in which those in the farming sector are forced to adapt to an economic model that is very hard to sustain and is very vulnerable very quickly to sharp changes that can devastate entire sectors. I feel people have been forced away from sustainable, traditional farming models into models that are not sustainable, or certainly are not sustainable without significant European subsidies. This is not unique. In the United States the agricultural sector is heavily subsidised and oriented towards a particular economic model. What has happened in this State is we have meat producers who, whether we want to accept as a cartel or not, by some remarkable coincidence happen to have prices at a particular level. The entire sector is export oriented. It is an industry. The practices being used are not good for the environment. I am speaking about an overreliance on nitric fertilisers when there are other traditional models. There are attempts in the State to redirect farmers towards them. I do not see a solution to our crisis in any model.

Is Ms Tacon aware of a model in Europe or internationally that can protect farmers? Do they need to come together to form beef producer organisations or co-operative organisations through which they can have strength? As she is coming to the end of her term, does Ms Tacon have a perspective on this? I am frustrated because the Competition and Consumer Protection Commission came before us in recent weeks and stated the issues being raised are not under legislation or its remit, that it sympathises with what is being raised but that new legislation and a new position need to be created to do it. That is the advice we received from it.

Ms Tacon said cartels are not the adjudicator's area of responsibility but is she aware of a model that addresses the issues internationally? Do we need to just go and make it happen?

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