Catherine Murphy (Kildare North, Social Democrats)
Link to this: Individually | In context | Oireachtas source

547. To ask the Minister for Agriculture, Food and the Marine if his attention has been drawn to the fact that spring lamb prices are at unsustainably low rates for producers; his views on a retailer (details supplied) selling at below cost in view of the fact that this undermines the producer; and if he will make a statement on the matter. [24046/17]

Michael Creed (Cork North West, Fine Gael)
Link to this: Individually | In context | Oireachtas source

I am very much aware of the impact prices received by all producers, including sheep producers, has on the profitability of a farmer's enterprise. However the price which farmers receive for their produce, and which retailers subsequently charge for it is a commercial matter, determined by a range of market factors. Neither I nor any agriculture minister in the EU has a role in determining or influencing the commercial relationship between primary producers and their customers or retail-level prices, and it would be entirely inappropriate for me to comment on this matter.

Retail prices of food and food products are determined in the marketplace.  The Grocery Goods Undertakings Regulations, 2016 set down requirements regarding written contracts by food retailers/wholesalers with a worldwide turnover of over €50 million.  They also prohibit a number of practices but do not set prices in relation to suppliers or consumers (S.I. No. 35 of 2016).

My Department has a number of supports available to sheep farmers under the Rural Development Programme including the BPS, GLAS, TAMS, Knowledge Transfer and ANC schemes. Added to this is the new Sheep Welfare scheme under the Programme for Government which committed to the establishment of a scheme for sheep farmers under the Rural Development Programme with a budget of some €25 million in 2017. This scheme is now fully operational with almost 22,000 applicants participating.

These schemes represent a clear acknowledgement of the contribution the sheepmeat sector makes to the Irish Agri-Food sector. In 2016 this sector saw an increase in exports of sheepmeat of 3% in volume and 4% in value terms to €240 million, supporting some 35,000 farm families directly, as well as providing several thousand jobs indirectly in rural areas.