Minister of State with responsibility for horticulture, Michael Healy-Rae, has voiced his opposition to retailers selling Irish vegetables for below the cost of production.
He addressed the Irish Farmers Association (IFA) national horticulture and potato meeting on Tuesday and spoke against below cost selling, which last had ban in the mid-2000s against the practice.
Minister Healy-Rae said that discussions are taking place to make the horticulture sector “stronger with the big retailers”.
“[Retailers] are our customers, we cherish them very much but it’s a battle of wills to try and make sure you get a fair price,” he said.
“Below cost selling is something I feel very strongly about. I asked questions at our last [Department] meeting on what are we going to do in the future to try and protect ourselves against that type of activity because that’s the race to nowhere.
Regulator
“When Mrs Murphy can go in and buy vegetables at a cost that’s silly and stupid, that is what it is. Mrs Murphy might be happy with it there and then but from a sustainable and longevity point of view, that does not make sense.”
Also at the meeting was Agri-food Regulator CEO Niamh Lenehan. She said that since the ban was removed, below cost selling cannot be prosecuted by the regulator.
“I’m hearing you but it’s not a designated unfair trading practice at the moment,” she said.
“Below cost selling is not against the law. I think in terms of the unfair trading practices that are there, there cannot be a cost for the supplier without that being agreed in advance. We are acutely aware of the situation you’re speaking of.”
Seed imports
The Minister of State also responded to questions about farmers inability to import potato seeds for production from the United Kingdom since Brexit, however, retailers are able to sell British produce.
Responding to a question from IFA potato committee chair Sean Ryan, Healy-Rae said that it “doesn’t make sense” and he will speak to EU representative about the matter.
“It is a matter that’s beyond our control but as a government it is our responsibility to lobby and to try and bring sense to it.”
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Minister of State with responsibility for horticulture, Michael Healy-Rae, has voiced his opposition to retailers selling Irish vegetables for below the cost of production.
He addressed the Irish Farmers Association (IFA) national horticulture and potato meeting on Tuesday and spoke against below cost selling, which last had ban in the mid-2000s against the practice.
Minister Healy-Rae said that discussions are taking place to make the horticulture sector “stronger with the big retailers”.
“[Retailers] are our customers, we cherish them very much but it’s a battle of wills to try and make sure you get a fair price,” he said.
“Below cost selling is something I feel very strongly about. I asked questions at our last [Department] meeting on what are we going to do in the future to try and protect ourselves against that type of activity because that’s the race to nowhere.
Regulator
“When Mrs Murphy can go in and buy vegetables at a cost that’s silly and stupid, that is what it is. Mrs Murphy might be happy with it there and then but from a sustainable and longevity point of view, that does not make sense.”
Also at the meeting was Agri-food Regulator CEO Niamh Lenehan. She said that since the ban was removed, below cost selling cannot be prosecuted by the regulator.
“I’m hearing you but it’s not a designated unfair trading practice at the moment,” she said.
“Below cost selling is not against the law. I think in terms of the unfair trading practices that are there, there cannot be a cost for the supplier without that being agreed in advance. We are acutely aware of the situation you’re speaking of.”
Seed imports
The Minister of State also responded to questions about farmers inability to import potato seeds for production from the United Kingdom since Brexit, however, retailers are able to sell British produce.
Responding to a question from IFA potato committee chair Sean Ryan, Healy-Rae said that it “doesn’t make sense” and he will speak to EU representative about the matter.
“It is a matter that’s beyond our control but as a government it is our responsibility to lobby and to try and bring sense to it.”
Read more
Agri-Food Regulator calls on Minister for additional powers
Work permits ‘fiasco’ stunting growth of horticulture sector
Large reductions in fertiliser and electricity costs
Aontú bill on below-cost selling of beef voted down in Dáil
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