Dáil debates

Tuesday, 9 May 2023

Food Costs and High Grocery Bills: Motion (Resumed) [Private Members]

 

8:30 pm

Photo of Marian HarkinMarian Harkin (Sligo-Leitrim, Independent) | Oireachtas source

I thank Sinn Féin for bringing forward this motion about escalating food costs and out-of-control grocery bills. When we spoke about Europe Day, many Deputies said most people would not even know it was Europe Day whereas everybody knows what we are talking about here this evening because food inflation affects every single family. However, it has a disproportionately negative effect on those on low incomes or welfare payments and, crucially, people with disabilities, who face an extra cost of a minimum of €9,000 per annum because of their disability. They are at the sharp end of this. We know that less well-off families spend a much greater proportion of their budget on food compared to better-off families so it is crucifying those families.

I heard the Minister say that food inflation is beginning to dip. The retail analyst Kantar said that grocery price inflation has decreased from 16.8% in March to 16.6% in April so if your grocery bill was €80 before the inflation hike, it was €93.44 in March and decreased to €93.28 in April - a saving of 16 cent. This shows how far we need to go.

I have listened to what has been said about the retail forum. I sincerely hope the Minister can deliver genuine price reductions but I have grave concerns as to what can be achieved. First, the forum is consultative and turkeys do not vote for Christmas. Second, the proposed agricultural food regulator that is being put in place by the Government has neither the tools, i.e., robust investigative procedures, nor the legislative basis to stamp out anti-competitive practices in the agrifood supply chain. I heard the Minister mention France. Its regulator has far more teeth and far more clout than what we are proposing and we should follow its example.

While profits are expanding, the size of products is contracting. We have shrinkflation of product sizes and inflation of product prices. This is a perfect recipe for profiteering, which is what is happening.

I saw it myself last weekend. I was unpacking my groceries and I took out this pack of freezer bags. I was putting them into the press and I took out the bag that was there already which still had a few in it. I bought it about three months ago. There were 30 bags in it when I bought it three months ago and there are 22 in the new pack. You can see very clearly that is a decrease of over 25%. That is just one example and there are several more. When you add the shrinkflation to the inflation, you then get a true reflection of the problem. We need to immediately instruct the CCPC to investigate possible price gouging in the agrifood sector and to give adequate powers to the agrifood regulator.

Comments

No comments

Log in or join to post a public comment.