Dáil Éireann debate -
Thursday, 22 Mar 1990

Vol. 397 No. 4

Written Answers. - Competition in Retail Trade.

Ruairí Quinn

Question:

26 Mr. Quinn asked the Minister for Industry and Commerce if his attention has been drawn to the fact that a major retailer (details supplied) is apparently attempting to abuse its dominant market position by demanding 70 days' credit from its suppliers; if he will outline the action, if any, he proposes to take to provide for fair and free competition in this industry; and if he will make a statement on the matter.

Minister for Industry and Commerce (Mr. O'Malley)

I am aware that certain difficulties have arisen in relation to credit terms being demanded by a major retailer from its suppliers. I understand that negotiations have taken place between the parties concerned and that agreement has been reached.

I do not consider that it should be necessary for me to become involved in negotiations on credit terms between suppliers and individual retailers — this is not my function. However, if it is found that there is an abuse of a dominant position I will not hesitate to take whatever steps are open to me to put an end to any such abuse.

Deputies will be aware that the agreed Programme for Government contains a commitment to the introduction of legislation to give effect in domestic law to provisions similar to Articles 85 and 86 of the Treaty of Rome. I am satisfied that this new legislation will provide for free and fair competition in all sectors of industry.