Bernard Durkan (Kildare North, Fine Gael)
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Question 364: To ask the Minister for Agriculture and Food the reason for the dramatic difference between the prices paid to the producer and those charged to the consumer; and if she will make a statement on the matter. [14574/05]

Mary Coughlan (Donegal South West, Fianna Fail)
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The prices received by producers and obtained in retail establishments are determined by the process of negotiation within the marketplace. The level of supply of a certain product, the degree of competitiveness within a sector and the level of consumer demand will all influence the final price received by the producer.

Similarly, the prices received by retail outlets are dependent on a range of influences. The location of retailers, transport costs, the degree of processing and refinement of the product and other similar factors all have an impact upon the final pricing of foodstuffs. To find out more about this process, the consumer liaison panel has invited tenders to assess data sources on the price of food in Ireland. This has been done with a view to devising a model for monitoring food prices and the share of these prices absorbed at different stages of the supply chain. A research organisation has been chosen and their findings will be published in late 2005.

Bernard Durkan (Kildare North, Fine Gael)
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Question 365: To ask the Minister for Agriculture and Food the extent to which the food industry here is keeping pace with international developments in the area of pre-cooked, frozen and oven-ready products; and if she will make a statement on the matter. [14575/05]

Mary Coughlan (Donegal South West, Fianna Fail)
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The prepared consumer foods sector plays a significant role in the economy with annual output of €2.6 billion, exports of €1.3 billion and direct employment of 16,000. The sector is one of the fastest growing sub-sectors of the Irish food industry, with growth at about 10% per annum. The prepared consumer foods sector is comprised of almost 200 companies out of a total of 700 food processing enterprises in Ireland and 75% of exports go to the UK.

The key drivers in the sector include changes in consumer eating habits, a health focus, snacking products, cooking times, food service and new eating occasions such as in-car dining. The sector continues to develop high levels of growth based on market knowledge, customer led innovation and service. I am satisfied that the sector has kept pace with international developments and is well positioned to supply key blue chip customers in the UK.

My Department and the food development agencies work closely with Irish food sector companies to assist them to develop, commercialise and market products that satisfy consumer demand and preferences across the main drivers of consumption. The food related provisions of the national development plan are focused on enhancing the competitiveness and innovative capability of the industry and ensuring market opportunities can be exploited.