Mary Harney
Question:19 Miss Harney asked the Minister for Enterprise and Employment the plans, if any, there are to impose limits on the market share controlled by any one company in the retail grocery trade. [10558/97]
Written Answers. - Retail Grocery Trade.
I have no plans to impose limits on market share controlled by any one company in the retail grocers trade, nor in any other sector of the economy.
The Competition Acts, 1991 and 1996, do not adopt such an approach nor does the competition law of the European Union. The approach favoured by domestic and European legislation in this area concerns abuse of dominance, and section 5 of the Competition Act, 1991, outlaws the abuse of a dominant position. In 1996, I strengthened the Competition Act, 1991, by giving substantial enforcement powers to the Competition Authority, the power of self-initiation and I expanded their professional staff. Abuse of a dominant position is now subject of substantial criminal and civil sanctions.
The imposition of limits on market share, as suggested in the Deputy's question would in my view be anti-competitive and contrary to the Single Market. Such limits would also constrain the capacity of business to grow to their potential and be hostile to business development; they would be inimical to consumer interests arising from reduced competition; and they would undoubtedly promote inefficiencies. The imposition of limits on market would be a retrograde step.