Committee for Agriculture and Rural Development

MINUTES OF PROCEEDINGS OF THE COMMITTEE FOR AGRICULTURE AND RURAL DEVELOPMENT
FRIDAY 11 FEBRUARY 2000
IN THE SENATE CHAMBER, PARLIAMENT BUILDINGS

Discussions with Retailers
Minutes of Proceedings
Matters Arising
Any Other Business
Date of next meeting

Present:
Dr IRK Paisley MP MEP MLA (Chairman)
Mr G Savage MLA (Deputy Chairman)
Mr B Armstrong MLA
Mr PJ Bradley MLA
Mr J Dallat MLA
Mr B Douglas MLA
Mr D Ford MLA
Mr G Kane MLA
Mr G McHugh MLA
Mr F Molloy MLA
Mr I Paisley Jnr. MLA

In attendance:
Mr M Wilson
Mr P Moore
Mr S Cowan

(Closed Session)

The Chairman welcomed Members to the meeting and advised that the regular business would be taken after discussions with the retailers were complete. Members agreed a 'running order' for questions and agreed to concentrate on potatoes issues during individual questioning of companies' representatives and wider procurement issues in the open forum.

The Chairman declared the session open to the public

Agenda Item 5 - Discussions with Retailers

The Committee heard individual presentations by representatives from 7 of the main supermarket chains (CWS, Dunnes, Marks and Spencer, Musgrave SuperValu-Centra, Safeway, Sainsbury's and Tesco). Representatives attending were:

Mr D Anderson and Mr A Payce-Drury CWS
Mr G McLornan and Mr J Nugent Dunnes
Mr D Gibson, Mr E Lunny and Dr C Brown Marks and Spencer
Mr E McGettigan, Mr N Briggs, Ms S Gilroy ) Musgrave SuperValu
Mr E Taggart and Mr N McGregor ) Centra
Mr K Hawkins Safeway
Mr M Brecknell, Ms C Scullard Sainsbury's
Mr C Kells, Mr P Timoney and Ms G CockcroftTesco

Members asked a number of questions of each company's representatives and others were directed to representatives from 2 potato packing companies (Angus Wilson from Wilson's Country Potatoes (accompanying Marks and Spencer and Tesco) and Charles McKillop from Glens of Antrim Potatoes (accompanying Sainsbury's)). Members followed up with further general questions on procurement and sales policies.

Subjects covered included

the disparity between farmgate and retail prices;
price comparisons with other UK regions;
value of local produce purchased by retailers;
profit margins and costs;
costs of promotion of local goods;
numbers of locally produced lines available in stores;
retailers' contributions to the local economy;
retailers' attitudes towards primary producers;
buyer/producer interface and other industry initiatives;
effects of the arrival of 'multiples' on suppliers, and
producers' competitiveness and how they could secure more business.

The Chairman summed up saying that he felt the exchanges had been very useful and informative. He looked forward to the further information which companies had undertaken to provide and asked that the companies consider ways in which they could help the local agriculture industry in its current crisis. The Chairman thanked all the representatives for their attendance and participation and closed the meeting to the public.

Following a short adjournment for lunch the Chairman reconvened the meeting in closed session.

Agenda Item 2 - Minutes of Proceedings

The minutes of the meeting held on 4 February 2000 were agreed and adopted with one minor correction to the list of apologies.

Minutes of the meeting held on 9 February were distributed to Members. After consideration Members agreed and adopted these Minutes.

Agenda Item 3 - Matters Arising

There were no matters arising from the 4 February meeting.
The Chairman advised that he had signed letters for issue to the Speaker regarding the use of the Senate Chamber and to the Minister following on from the Committee's meeting with Mr. Lavery (both as agreed at the 9 February meeting).

Agenda Item 4 - Any Other Business

Members considered a draft letter to the Department (and to the Department for Regional Development) following receipt of the petition from Oliver Gibson MLA (as agreed at the meeting of 28 January 2000).

Agreed: That the letters should issue with one amendment.

Members' attention was drawn to the copies of the Examiner of Statutory Rules' report on the three Rules formally considered by the Committee at the meetings held on 14 and 28 January 2000. The Examiner had found a minor ambiguity in the drafting of one of the Rules (Countryside Access) and had taken this up with the Department.

Agreed: that no further action was required by Members.

Members' attention was drawn to the papers received from the Department on a proposed Rabies order. Formal consideration by the Committee was not required in this case. Following discussions Members felt that clarification should be sought on whether animals brought to Northern Ireland through Scotland would be included in the scheme.

Agreed: That the Clerk should issue a letter to the Department seeking clarification on whether the proposed Rule allowed for animals to be brought into Northern Ireland from England via other regions of the UK.

Members' attention was drawn to the Department's letter advising of the proposal to make a Statutory Rule on Animals and Animal Products. Members felt that this would be of interest when submitted for prior consultation.

Agreed: That the Committee should seek a presentation from the Department when the Rule is submitted for prior consultation.

Members discussed the most recent correspondence from the Department on the draft New TSN (Targeting Social Need) plans. Members felt that they would wish to assure themselves that they subscribed to the Department's plan and that they should consider the 'final' draft after the current consultation process was complete.

Agreed: That the Clerk should write to the Department advising that Members did not propose to provide comment before the current consultation was concluded but that the Committee should be given an opportunity to comment at that stage, the Clerk to arrange a presentation by the Department in due course.

Members noted the Committee's letter to the Department following discussions with officials on the budget.

Agreed: That the Clerk should pursue the Committee's requests for information.

Mr Kane raised the subject of outstanding balances of Beef Special Premium (and other premia) and sought the Committee's support in asking the Minister to expedite payment.

Agreed: That the Clerk should write to the Department advising that Members see no reason why farmers should not receive their payments immediately and seek assurances from the Department that they would give the matter urgent attention.

Mr. Douglas raised a query about the cost of replacement ear tags for cattle. Members felt that this would be better dealt with as a constituency matter.

Agreed: Mr. Douglas to take the matter up direct with the Minister.

Agenda Item 6 - Date of next meeting

Agreed: In view of the uncertainty surrounding suspension of the Assembly no date would be set for the next meeting. The Chairman would call the meeting when it was appropriate to do so.

Ian R K Paisley
Chairman