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Dáil Éireann díospóireacht -
Thursday, 14 Dec 1995

Vol. 459 No. 8

Written Answers. - Grocery Trade Protection.

Tony Killeen

Ceist:

135 Mr. Killeen asked the Minister for Enterprise and Employment the plans, if any, he has to protect small retail newsagents and grocery outlets. [19045/95]

I would draw the Deputy's attention to the Restrictive Practices (Groceries) Order, 1987 which includes provisions which prohibit below cost selling of many grocery products and the payment or receipt of "hello money". The Director of Consumer Affairs is responsible for enforcing the order and has the power to investigate alleged breaches of the order. I decided earlier this year to retain the Groceries Order for a period of two years. I believe the retention of the order is necessary because competition law, as it now stands, is ill-equipped to tackle anti-competitive activity in the grocery trade. The lack of public enforcement and inadequate penalties for breaches of the law are fundamental deficiencies in the existing competition regime.

The Competition (Amendment) Bill, which is currently before the Select Committee on Enterprise and Economic Strategy will, when enacted, give powers of investigation and enforcement to the Competition Authority. The proposed Director of Competition Enforcement may investigate complaints, including those from newsagents and grocery outlets concerning anti-competitive practices and may make recommendations and give advice to the authority on the institution of Court proceedings in such matters as appropriate.
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