The bill that will establish a new agri-food regulator to monitor and police interactions between farmers and food producers, retailers and processors was debated in the Dáil this evening.
Titled the Agricultural and Food Supply Chain Bill 2022, it provides for the establishment of a new independent statutory body, An Rialálaí Agraibhia, or Agri-Food Regulator, which will have powers to levy fines of up to €10m on buyers, including retailers, food producers and processors who engage in unfair trading practices with farmers and other suppliers.
The office will have powers to investigate breaches such as late payments to suppliers, misuse of trade secrets, commercial retaliation and unilateral contract changes.
The regulator will also have the power to carry out analysis and reporting of price and market data concerning the agricultural and food chain in Ireland to help enhance market fairness and transparency.
It is intended to strengthen the position of farmers, fishers and other suppliers in the agricultural and food supply chain against larger buyers with greater bargaining power.
Speaking during the debate on the bill, Sinn Féin's Matt Carthy said the bill was welcomed but inadequate.
"The truth is minister, is that we still don't have the type of teeth that a regulator will be required to have if it is to mark the sea change that we believe, and you have said, is required in order to have openness and transparency and full sight of the profits being made and secured by some elements of the chain as distinct from those who are producing and those who are purchasing in supermarkets."
Independent TD Michael McNamara told the house that after speaking to many farm bodies, none of them are happy that the bill has sufficient powers to bring about the transparency the minister said he wants.
"If you want your regulator to succeed, give them the powers to succeed. Don't put them on a pedestal to fail, without the powers they need to require retailers and processors to outline the prices they are being paid because only then will we know who is making the money. There is a lot of money being made but we don't know who is making it."
Minister for Agriculture Charlie McConalogue said his objective, and that of the Government, was to deliver an office and a regulator which was going to do as much as possibly can be done in making sure farmers get fair play in their business relations with processors and retailers.
He said it will be the first time in the history of the State there will be a legal statutory independent food regulator to bring transparency to the food supply chain.
He said the powers of the bill are very strong in that regard and in the capacity of the minister to instruct the regulator to gather information that he requires they should be gathering.
He said he was absolutely confident the office will be able to carry out its functions.
The bill will return to the Dáil next week for final debate and is expected to be passed after which it will go to the Seanad.
