Micheál Martin (Cork South Central, Fianna Fail)

I am aware of recent media reports referring to a survey indicating that the cost of grocery goods has increased. There are many inputs into the final price paid for grocery products by consumers, including many outside our control. I note that the Central Statistics Office has identified high fuel prices, the introduction of higher interest rates by financial institutions and increased transport costs as some of the main contributory factors to recent price increases.

The market will take some time to adapt to the changed legislative environment in the grocery trade and I have asked the Competition Authority to monitor the sector following the repeal of the groceries order on 20 March 2006. The authority is putting in place a monitoring mechanism to track data and trends over the coming months and years. While the authority is undertaking this project in accordance with its independent statutory functions, it has agreed to meet various players in the grocery trade to inform the process.

I expect the removal of the groceries order to stimulate competition and drive increased efficiencies at all levels of the distribution chain from which consumers will ultimately benefit.

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