Olivia Mitchell (Dublin South, Fine Gael)
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Question 311: To ask the Minister for Enterprise, Trade and Innovation the way he intends to respond to the National Consumer Agency's report on supermarket prices and on the absence of price competition between the existing supermarkets; and if he will make a statement on the matter. [35325/10]

Batt O'Keeffe (Cork North West, Fianna Fail)
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The latest grocery price comparison survey carried out by the National Consumer Agency, which was published on the 10th August, found that in the case of the multiples the price of selected branded grocery items had dropped in the region of 14% between January 2009 and July 2010. The Central Statistics Office in its most recent bulletin found that overall the price of food and non-alcoholic beverages fell by 3.2% in the twelve months to August 2010. These reductions in prices clearly provide welcome relief for consumers in these difficult economic times.

The Chief Executive of the Agency in announcing the results of the latest survey expressed the view that there was a need for greater competition in the grocery market so as to ensure that consumers can benefit from more choice and more competitive prices. Government policy in the area of prices has long been focussed on the importance of promoting competition and raising consumer awareness. Research carried out on behalf of the National Consumer Agency shows that consumers are becoming more strategic in relation to their shopping decisions and that for a significant number of them price rather than convenience has become the primary determinant.

I have no doubt that initiatives such as the Agency's regular price comparison surveys have helped to raise consumers' awareness in relation to the prices being charged in the marketplace which in turn has led to retailers responding with lower prices as evidenced by the results of the Agency's survey and by the recent returns from the Central Statistics Office. I, therefore, fully support the work undertaken by the Agency through its ongoing price comparison surveys which undoubtedly will help to ensure that consumers can continue to be informed as to the different offerings available in the marketplace. I will keep all other policy options open to me, which can encourage competition and maintain downward pressure on prices, under review.