Oireachtas Joint and Select Committees

Wednesday, 2 March 2022

Joint Oireachtas Committee on Agriculture, Food and the Marine

Challenges in the Pig, Poultry and Horticulture Sectors: Irish Farmers Association

Mr. Robert Malone:

I will answer that. The unfair trading practices directive is a European directive. As Deputy Carthy outlined, he was involved in it a number of years ago. It goes not go far enough. If we go through it, there are 16 unfair trading practices that are banned by the directive and minimum requirements are to be enforced for all new contracts and existing contracts from 28 April this year. I have no doubt they will be but they do not go anywhere near far enough. The words "price recognition" of the cost of production are never mentioned in the context of an unfair trading practice. Terms and conditions of trading, terms of payment and those kind of things are mentioned as they relate to unfair trading practices. That is why we are here today.

To go back to the Senator's advice, we have a specific ask. When committee members get a chance to scrutinise this legislation, we want them to look for proper teeth in the powers of the food regulator or the ombudsperson, whatever it is termed, of engagement with retailers, investigation and enforcement in order to call out people who are not recognising the cost of production. Whether it is Mr. Cullinan as a pig farmer or Ms Brennan's horticulturist members, their costs of production are not recognised in those prices. That is ultimately where the problem is. If the price set by a retailer for a packer or processor is not enough, the farmer will ultimately lose.

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