Oireachtas Joint and Select Committees

Tuesday, 6 July 2021

Joint Oireachtas Committee on Agriculture, Food and the Marine

Beef Task Force: Discussion

Ms Sinéad McPhillips:

The issue of below cost selling has been raised in some of the submissions in respect of the public consultation on the new office of the national food ombudsman or regulator. As the Deputy points out, there is quite a distinction between concepts of below cost selling and selling below the cost of production. Those issues can be considered in respect of the primary legislation attached to that office. Establishing the cost of production, which can vary from farmer to farmer, would be a significant challenge. The second thing that distinguishes Ireland from France and Spain is that in those countries, farmers are largely selling into their own domestic market. Primary producers therefore have much greater sway in discussions with retailers and final trade customers, whereas in Ireland, 90% of the beef we produce is exported, so the final customers are far away and are much less subject to influence by producers.