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Dáil Éireann debate -
Wednesday, 22 Nov 2000

Vol. 526 No. 4

Written Answers. - Grocery Industry.

Eamon Gilmore

Question:

93 Mr. Gilmore asked the Tánaiste and Minister for Enterprise, Trade and Employment if her attention has been drawn to the report of the Director of Consumer Affairs showing evidence of a possible cartel among major food chains; if she will instruct the Competition Authority to have investigations made into this allegation; and if she will make a statement on the matter. [26562/00]

The Office of Director of Consumer Affairs in co-operation with the Consumers Association of Ireland recently carried out the second in a series of four shopping basket price surveys of some 30 of the most popular grocery and related items.

The survey, which was conducted at supermarkets and large and medium sized retail outlets in Dublin, Cork, Limerick, Dundalk, Galway, Athlone, Sligo and Carlow-Kilkenny revealed very little price differential between Tesco, Dunnes Stores and Superquinn countrywide. In the case of the other stores surveyed, the price variation was not significant.

In light of the general level of price similarity across the range of shopping basket items surveyed and her concern at the apparent lack of competition, I understand the Director of Consumer Affairs has referred the survey results to the Competition Authority. The authority operates independently of me and, therefore, will decide whether any action by the authority is necessary under the Competition Acts.

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