Vol. 573 No. 2
35 Mr. Perry asked the Tánaiste and Minister for Enterprise, Trade and Employment the level of consultation undertaken to date to review the Groceries Order 1987; when her report will be published; if she has found evidence that the order is contributing to higher food prices; and if she will make a statement on the matter. [24409/03]
58 Ms B. Moynihan-Cronin asked the Tánaiste and Minister for Enterprise, Trade and Employment when she intends to publish the results of her review of the 1987 Groceries Order which forbids below cost selling; and if she will make a statement on the matter. [24482/03]
I propose to take Questions Nos. 35 and 58 together.
I have received a considerable number of representations and submissions, including from Deputies, in relation to this matter. In addition, I have met with representatives of manufacturing, wholesale and retail interests in the grocery sector.
As regards the issue of whether the groceries order has contributed to higher food prices, this is a complex area. On the one hand, those arguing for the repeal of the order suggest that it facilitates resale price maintenance and that prices are higher than they would be otherwise. On the other hand, supporters of the order have claimed that price inflation is higher on items not covered by the order compared to items covered by it. Restriction on competition can only be justified when they serve a clear public good and, therefore, need to be kept under review. I am still considering whether the groceries order continues to be justified given the changing nature of competition in the retail sector.
Question No. 36 answered with Question No. 34.
