Michelle Mulherin (Fine Gael)
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Based on what the representatives have described, I can see many beef farmers taking up the initiative for the sake of certainty and the prospect of a bonus being paid. In the presentation I note the description of the Twenty20 Beef Club as being farmer-centric. However, I share many of the reservations expressed by colleagues. The organisations are not doing it for the good of their health or out of the goodness of their hearts; rather, they are managing two very successful business concerns. The reason they can close the loop is they are operating on such a scale. The reason the club is farmer-centric is farmers do not have the negotiating power of the two organisations.

It is farmer-centric because it suits and the farmers do not have negotiating power as the witnesses have. If the witnesses proceed as they propose, I do not begrudge any farmer getting the positives that the witnesses have suggested, but if other companies, such as merchants, are going out of business, and the witnesses are the last ones standing, why would they still be benevolent to farmers, except that they have entered into a contract? What happens once that expires? This goes back to the issue of the factories both being big concerns. They have entered into this undertaking and it seems that they are in a dominant position vis-à-visthe other merchants. We are just having a cursory discussion here but I can see how it could end badly. If what the witnesses do could ultimately put these other companies which operate and deal with farmers out of the equation, the farmers would then be at their mercy. That is the kernel of our concerns. We have many issues with multinational retailers because they are so powerful and the small shop has really changed. They are very challenged with regard to food, drink and everything else. All sides have to be looked at. I am interested in how the witnesses will address the anti-competitive suggestions. Some of my colleagues have pointed out how regulated feed, fertiliser and such are. There is an idea that the witnesses are offering something much better. There is a lot of standardisation. Leaving people out of the loop is questionable.

I have to leave to attend a division in the Seanad.