asked the Minister for Trade, Commerce and Tourism if he proposes to take any action to protect the interests of small family grocers from the effect of the below cost selling practices operated by the large chain stores; and if he will make a statement on the matter.
Written Answers. - Low Cost Selling.
599.
The Deputy will be aware of the provisions of the Restrictive Practices (Groceries) Order, 1981 which is concerned, inter alia, with the problem of below cost selling. In particular, it prohibits the advertising of grocery goods for sale at a price which is below net invoice price and enables suppliers to withhold grocery goods from wholesalers or retailers who offer such goods for sale at a price which is below net invoice price. These controls were introduced on foot of recommendations by the Restrictive Practices Commission following its public enquiry into the retail sale of grocery goods below cost price. The Commission recommended against a prohibition of the practice.
I have received a number of submissions recommending further legislative intervention in the retail grocery sector, including proposals for the prohibition of below cost selling. I have been consulting with the various groups who are involved in this sector and I will not be in a position to take any final decisions in the matter until I have considered the views of all interested parties.