P J Sheehan (Cork South West, Fine Gael)
Link to this: Individually | In context

Question 50: To ask the Minister for Agriculture, Fisheries and Food the action being taken to support local growers' cooperatives to deal with the threat of unfair competition from large international retailers; and if he will make a statement on the matter. [26040/09]

Brendan Smith (Cavan-Monaghan, Fianna Fail)
Link to this: Individually | In context

I am in the process of meeting with large retailers to impress on them the Government's commitment to the agri-food sector. I am taking the opportunity to explain the importance of the sector to the economy as well as the high quality standard of food production in this country. These standards have been achieved as a result of major investment over the years in traceability and food safety infrastructure which has complemented the natural advantages of food production here. More recent investment to support environmentally and animal welfare friendly methods of production have also been brought to the attention of retailers as advantages in meeting emerging consumer concerns. However I acknowledge that consumers are concerned about value for money and have emphasised the necessity for a reasonable balance between granting price reductions to consumers and giving a fair return to suppliers and producers.

As regards local growers cooperatives, the EU Producer Organisation (PO) Scheme provides an important mechanism for fruit and vegetable growers to achieve greater bargaining power in the marketplace by becoming part of a larger supply base. The Scheme has more flexible terms and conditions with effect from 2009 and it is hoped that this will attract more growers to join POs. Since 2000, twenty POs have benefited from EU funding amounting to €29.5m.