Vol. 497 No. 1
32 Mr. Broughan asked the Tánaiste and Minister for Enterprise, Trade and Employment the result of her Department's recent meetings with the large retail multiples with regard to profit margins on beef, bacon and lamb products; and if she will introduce any form of price controls. [24219/98]
I recently met a number of multiples to discuss the growing concern among consumers at the perceived failure of the retail trade to reduce the price of meat on the shelves to reflect the historically low prices paid to farmers.
I made it clear to the multiples that the Government is particularly concerned about unnecessarily high meat prices on supermarket shelves. Profiteering at any point in the supply chain, either at retail level or at the processing stage, is wholly unacceptable to me as Minister for Consumer Affairs.
I also made it clear that the multiples must move quickly to restore consumer confidence in the value they are getting for meat and demonstrate clearly that they are pushing prices down.
I recognise that the multiples stated that prices had come down to some extent. I said I would be monitoring the situation very closely to see tangible proof that prices were on the way down. The bottom line is that the customer is entitled to consistent and lasting reductions in prices in the current environment.
As regards price control, it is Government policy to encourage competition and to promote greater price awareness among consumers. I had already drawn the attention of the Director of Competition Enforcement to a recent debate in this House on the issue of food prices and I have asked him to take such action as he considers appropriate.
I am raising the role of the processing sector with my colleague the Minister for Agriculture and Food. I will be exploring with him the extent to which the processing sector can play a role in ensuring a fair deal for consumers.
