Leo Varadkar (Dublin West, Fine Gael)
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Question 122: To ask the Minister for Enterprise, Trade and Employment if he has requested the National Consumer Agency to investigate the failure of retailers to pass on savings on imported goods from the UK and the USA due to the strengthening of the euro against the pound and dollar; and if he will make a statement on the matter. [12626/08]

Micheál Martin (Cork South Central, Fianna Fail)
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The Consumer Protection Act 2007 specifically provides that the National Consumer Agency shall be independent in the performance of its functions and in this regard I, as Minister for Enterprise, Trade and Employment have no direct responsibility in relation to the manner in which the Agency exercises its statutory functions.

I am aware of the concerns expressed by some commentators that the benefits of recent movements in exchange rates between the Euro and Sterling and the Euro and the Dollar may not be passed on to consumers. In this regard I am advised that the National Consumer Agency has raised these concerns in bilateral discussions with retailers. In the course of those discussions, retailers have advised that the benefits of recent exchange rate movements may not be fully reflected in their prices as in many instances they are tied into long term hedging arrangements, which do not make it possible for them to respond to short-term exchange rate fluctuations. As such, it may take some time for exchange rate movements to be reflected in pricing. This is also likely to be the case for goods that are pre-labelled, often far in advance of hitting the shops.

Notwithstanding such considerations, I understand that the National Consumer Agency remains concerned that in some instances the price charged by retailers reflects a price level that the retailer anticipates the Irish market will bear, and this may or may not take into account movements in exchange rates. The Deputy will be aware of the various initiatives undertaken by the National Consumer Agency to raise awareness among consumers in relation to the price they pay for goods and services and particularly in relation to the importance of consumers achieving the best value for money when purchasing such goods and services. In this regard the Deputy will be aware of the specific surveys carried out by the Agency in relation to food prices, the most recent of which was published last month. I very much welcome the Agency's activities in this area which clearly provide consumers with necessary information regarding the prices charged by different retailers. In this regard, I note the recent statement by the Chief Executive of the Agency that following the publication of its Grocery Price Comparison Survey a significant number of consumers have already changed their shopping behaviour based on the Survey's results. I would urge all consumers to consult the Agency's surveys in order that they can make informed decisions in relation to those retailers from whom they wish to purchase goods and services.

I am confident the work of the National Consumer Agency, together with the awareness of consumers themselves, will help to ensure that consumers are sufficiently informed to direct their business to those retailers offering them the best value for money and a fair deal.