Seanad debates
Wednesday, 28 May 2025
Nithe i dtosach suíonna - Commencement Matters
Food Industry
2:00 am
Martin Heydon (Kildare South, Fine Gael)
I thank the Senator for raising this important matter. I will pass on his good wishes to Bord Bia. I look forward to meeting him at Bloom on Thursday evening and to the fantastic bank holiday ahead. A huge number of people have put an awful lot of work in there. It is a great opportunity for us to showcase the best in our food and horticulture sector and beyond. It is something that people take great pride in and put huge work into. It will be a positive weekend. I encourage everyone to go along to Bloom this weekend.
As the Senator is aware from his involvement in the pre-legislative scrutiny of the Bill that established Ireland’s first independent Agri-Food Regulator, the regulator performs two key functions. It enforces the law on unfair trading practices, UTP, and it performs a price and market analysis and reporting function. It is that second function we are discussing today. Section 12 of the Agricultural and Food Supply Chain Act 2023 requires the regulator to publish analysis of information about price and market data relating to the agricultural and food supply chain. Currently, in respect of that function, the Act provides that the regulator may "seek from businesses ... any data impacting upon price and margins considered necessary". Such data sought by the regulator includes but is not limited to the items listed in the legislation. I wish to emphasise that this price and market function is separate and distinct from the regulator’s function to enforce the law on UTP. The regulator has extensive powers to obtain data from businesses in the course of UTP investigations. It is appropriate to mention at this juncture that the regulator has already had a successful prosecution for a UTP breach.
On the price and market analysis function, over the last year the regulator has published welcome analysis on two sectors: the egg and horticulture sectors. Such reports are important to assist food suppliers in their decision-making. While there has been much positive engagement with the regulator from operators who have responded to requests for data, there were a few operators who did not provide the requested data. The two reports were as a result published using publicly available data. In light of its experience concerning those reports, the regulator has reported to me that it requires enhanced powers to compel businesses to provide financial information that is not in the public domain. The Act does not permit the regulator to compel such data. However, the Act provides that the Minister may make regulations on price and market information. In addition, the programme for Government commits to giving the Agri-Food Regulator enhanced powers to ensure transparency in the food supply chain with regard to providing market information.
I am fully committed to ensuring that the regulator is equipped with the necessary powers to fulfil its statutory function, subject to the legislative and consultative process. I need to ensure that the powers granted are proportionate. My Department and I are in discussions with the Agri-Food Regulator and other key stakeholders to see how this can be achieved. As part of that process, it is appropriate for me to consider relevant factors before making any such regulations. In particular, I must have regard for the SME test, which is also a programme for Government commitment relating to legislation. I am aware that there is a concern in the business sector. I have met with IBEC and business representatives and heard their concern that compelling Irish agrifood businesses to provide financial data may give rise to competitive advantages for businesses in other EU member states. This is because it may go beyond the current EU requirements. The regulator has advised me that it is fully aware of its responsibilities on protecting information that may be commercially sensitive.
My Department is committed to working with the regulator and stakeholders on this matter. Pending the finalisation of the legislative and consultative process, it remains open to the regulator to seek financial data from businesses and to publish reports on the price and market. I hope the Senator takes on board from the broad response I have given that this is something I am taking seriously. We did not set up the Agri-Food Regulator in order for it not to be able to do its job. We would not be in this position if everybody had provided the information they were required to provide. At the same time, we want to make sure that any intervention or statutory instrument I may bring forward will be proportionate and take due account. The regulator is very much aware of its responsibilities in handling such sensitive information.
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