Seymour Crawford (Cavan-Monaghan, Fine Gael)

Will the Minister indicate whether he proposes to outlaw predatory pricing? I recall the year when an American lady hosted all sorts of dinners and meetings to encourage farmers to buy soya bean meal at knock-down prices because it was surplus. However, when storms in the United States caused a collapse of the soya bean crop the following year there was no sign of the lady in question or the product.

It is vital that the groceries order is removed in tandem with the introduction of realistic legislation which guarantees the rights of consumers and ordinary people in the trade. I have no doubt the objective of the multiples in seeking to force the Minister to abandon the groceries order was to give them greater freedom to take control of the market and, in turn, eliminate their competitors.

If retail groups use products to undercut the market at throwaway prices, the prices paid to producers will be depressed further. No area will experience greater difficulty than the meat and dairy sector. Only a few weeks ago, an international magazine published the views of an organisation representing the interests of 4,500 Austrian dairy farmers, which accused one of the country's major retail groups of selling yoghurt at throwaway prices and, to use its words, further depressing milk producers' prices with its unacceptable behaviour. Yoghurt was being sold at 9 cent for a 150 g carton during the week of 18 August. This price would cover the costs of the product's plastic packaging and transportation and would leave nothing for manufacturing or the producer. A similar yoghurt here retails for approximately 40 cent.

I have no doubt Mr. Eddie Hobbs played a major role in influencing the Minister's decision on the groceries order. I hope the Government takes the other issues raised by Mr. Hobbs with the same degree of seriousness. If the Government does as he suggests, there is no doubt the costs of manufacturing will decrease and the economy will become much more competitive. In addition, the Competition Authority must secure proper staffing and funding and must be given sufficient powers to act on behalf of consumers.

A few weeks ago, the Minister for Agriculture and Food, Deputy Coughlan, insisted in the House that a requirement to have veterinary prescriptions for animals would not add to costs. At the same time, the Minister for Health and Children, Deputy Harney, speaking at a nurses function, claimed she would have to allow certain nurses to provide prescriptions for humans so as to reduce prices. The House is being given different messages from different Ministers.

Thousands of manufacturing jobs have been lost. An examination of the list of stealth taxes demonstrates what is happening. It is sad that most of the increase in costs is Government led. In 2002, VAT increased by 8%. Motor tax increased by 12% and hospital charges by 26%. Drug refund costs rose by 31%, and later that year VHI fees rose by 8.5%. They have risen further since. In the December budget, the cost of the drug refund scheme rose by another €8, and accident and emergency charges to €45. We could go on. Many of manufacturing industry's problems and the costs to consumers are Government-led through all those stealth taxes, which must end.

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