Written answers

Wednesday, 27 January 2010

Department of Agriculture and Food

Grocery Industry

6:00 am

Photo of Mary WhiteMary White (Carlow-Kilkenny, Green Party)
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Question 165: To ask the Minister for Agriculture, Fisheries and Food if, in view of the commitment in the revised programme for Government to implement a code of practice to develop a fair trading relationship between retailers and their suppliers, it will be a mandatory code; the benefits it will accrue to primary producers and horticultural producers; and if he will make a statement on the matter. [3551/10]

Photo of Brendan SmithBrendan Smith (Cavan-Monaghan, Fianna Fail)
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As signalled by the Tánaiste, the intention is to implement a national code of practice for doing business in the grocery goods sector with a view to ensuring a fair trading relationship between retailers and their suppliers. The code will be initially on a voluntary basis.

The EU Commission has also issued a communication on a better functioning food supply chain in Europe. As I said at the recent Council of Ministers meeting, I believe there is also a need to look critically at EU competition law (or its interpretation) in so far as it can serve to militate against consolidation at producer level to achieve the scale necessary for optimum efficiency and international competitiveness. There is a need also to audit unfair contractual practices with a view to ensuring compliance with competition law. I am very pleased that the Spanish Presidency had committed itself to progressing the whole issue of improving the functioning of the food chain. There is a need for considerable improvement so that all players, including producers and consumers, receive fair treatment.

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