Written answers

Wednesday, 26 May 2010

Department of Enterprise, Trade and Innovation

Grocery Industry

10:30 am

Photo of Michael CreedMichael Creed (Cork North West, Fine Gael)
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Question 132: To ask the Minister for Enterprise, Trade and Innovation his views on whether it will be necessary to introduce a statutory code of conduct to regulate the relationship between retailers and suppliers in the grocery sector; and if he will make a statement on the matter. [22306/10]

Photo of Batt O'KeeffeBatt O'Keeffe (Cork North West, Fianna Fail)
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The Renewed Programme for Government contains a specific commitment to implement a Code of Practice for doing business in the Grocery Goods sector to develop a fair trading relationship between retailers and their suppliers" and "to review progress of the Code and if necessary to put in place a mandatory code". The Government will give effect to this commitment by including a specific provision in the legislation, currently being prepared to merge the National Consumer Agency and the Competition Authority, which will allow for the introduction of a statutory Code of Conduct in the grocery goods sector. I expect to publish this legislation later this year. In the interim period, until the legislation is enacted, the opportunity will be taken to explore with all relevant stakeholders the possibilities of agreeing a Voluntary Code. I have appointed a facilitator to engage with stakeholders in relation to the drawing up of a Voluntary Code.

The Government recognises the importance of ensuring that there is a fair balance in the relationships between the various players in the grocery goods sector, particularly given the importance of this sector to the national economy. The introduction of a Code, as provided for in the Programme for Government, is intended to achieve such a balance taking into account the interests of all stakeholders including the interests of the consumer and the need to ensure that there is no impediment to the passing-on of lower prices to consumers.

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