A body representing food and drink companies says 2,000 jobs have been lost in the industry so far this year and 'many thousands more' are at risk.
Food and Drink Industry Ireland (FDII), part of employers' group IBEC, said firms' competitive position had been damaged by high business costs and the sharp fall in the value of sterling.
It called for Government action to reduce business costs, particularly energy. The body also urged the Government to seek EU approval to set aside its rules on state aid in order to provide grant aid to firms hit by the fall in sterling. FDII also wants an export credit scheme with a state-backed guarantee.
The body has launched a report on the sector, which says Ireland has the highest levels of concentration in the grocery sector in Europe. The report says the top three retailers had more than 70% of the market last year.
It has called for a Supermarket Ombudsman 'to protect Irish food suppliers from unfair commercial practices', as the bargaining power of retailers is much higher than that of suppliers.
