Dáil debates

Wednesday, 2 July 2014

Competition and Consumer Protection Bill 2014: Report Stage (Resumed)

 

5:10 pm

Photo of Dara CallearyDara Calleary (Mayo, Fianna Fail) | Oireachtas source

I move amendment No. 51:

In page 84, between lines 14 and 15, to insert the following:
"(2) The Minister, having regard to subsection (1) may, from time to time, give a direction that a retailer shall not sell grocery goods at a price that is less than the net invoice price of the goods.".
The Minister stated today on a number of occasions that the role of the producer and protecting the producer from the dominant relationship is central to this Bill and this is a chance for him to put his money where his mouth is. We had the bizarre situation - the Minister is all in favour of loss leaders - where vegetables were being sold for 5 cent or 6 cent immediately prior to Christmas. We have had the debate on alcohol, and one sees alcohol being sold in an off-licence at crazy prices that bear no relationship to the cost of producing it, when in some cases it is cheaper to buy it from a supermarket than from a wholesaler for many publicans, that is a competition issue, but the Minister is happy enough for that to continue.

If the relationship, in particular, between small suppliers and dominant suppliers is to change and is to be in some way levelled out, then we must be serious about below-cost selling. At present, the practice happens. The dominant providers are demanding it from their producers. They are putting such pressure on producers to provide goods at prices that have no relationship with the production price that many producers end up going out of business, we end up with unemployment and the choice available to consumers is that much less.

I will be calling a vote on this because this is crucial to the Bill which, the Minister states, seeks to protect producers. It is essential for consumers that the greatest possible choice be available to them, particularly in food. It is essential for us to continue to grow the food sector that small producers be given the opportunity to break into the market and be given the right to defend their goods in the face of the attack that is laid on them by large multiples.

If this legislation is in any way true to what it seeks to do, which is to protect consumers, then the Minister should accept the amendment.

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