Oireachtas Joint and Select Committees

Tuesday, 5 March 2013

Select Committee on Agriculture, Food and the Marine

Retail Sector: Discussion with RGDATA and Retail Ireland

4:10 pm

Photo of Éamon Ó CuívÉamon Ó Cuív (Galway West, Fianna Fail)
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One perpetually hears from small operators and the more vulnerable sectors that they are fearful of making complaints. I remember an example of a service that was contracted to a Department of which I was a Minister at one stage. It was a very poor service and I was anxious to bring the service provider to court. The problem was that the people who used the service depended on it and had no other service. The result was that nobody would give me, as Minister, the complaint so that I could bring the operator in question to court. The people were afraid of retribution. Anecdote would have it - I think it is more than anecdote, as we have all heard the same - that there are plenty of food suppliers of various types who believe impossible burdens are being put on them. They have great difficulties with contracts and conditions, for example. They are bearing all the risk but they cannot put their heads over the parapet because they will be the losers if they do so. I have even heard people say they would not testify in front of this committee because they are afraid that the people who buy their produce might blackball them if they did so. If all these people are wrong, there is a significant public relations job to be done. They sincerely and honestly believe this to be the case. In the normal course of events, anybody who is invited to appear before this committee is really eager to attend. People like to attend this committee for all sorts of reasons, including the schoolchildren who are next door at the Irish language committee. They like to be in the Houses of the Oireachtas and to have their points heard. It would be fair to say that people on the supply side of the industry are afraid to come in here. If Mr. Lynam is correct that there is nothing to fear and that it is all fair competition and no dominant position is being abused, then these people are labouring under a significant misapprehension. It is very important for the retail industry to reassure them that this is not the situation. However, if they are correct, then it is not working, and the Oireachtas will have to deal with the issue.

On the issue of voluntary codes, in a previous life, I had plenty of examples of how a new body will sign up to anything in a voluntary code because there is no sanction in a voluntary code. Give them half as many conditions in a statutory code - an enforceable code - or a statutory regulation or law and they will squeal because they know sanctions are attached. Given the choice between fewer provisions with legal sanction or a voluntary code with more provisions, I would choose the fewer provisions with the legal back-up. I do not believe a voluntary code is worth much, because it is only a voluntary code and there are no sanctions if it is breached.