ICMSA criticises retailers for selling below cost basic food items
He said consumers and the Government should not mistake unfair competition for the proper function of the food retail sector.
"Below cost selling harms everybody apart from the multiple retailers. These retailers are using below cost food items to cover up unjustified margins in all other product lines that they carry.
"Yet, the Government agencies are doing nothing about this and are preoccupied in seeking the abolition of the Groceries Order," he said.
Mr O'Rourke said the Taoiseach's recent comments about below cost selling and real competition in the food sector are reassuring.
However, what is needed now is a full investigation by the Tanaiste's Department of Enterprise, Trade and Employment.
"I am confident that this investigation will show that basic food items are not contributing to the 'Rip Off' Ireland reality.
"Indeed farmers and food processors are actually victims of the same excessive power of the multiple retailer."
Mr O'Rourke said unless there is Government action, the retail market for food in Ireland will become more distorted, with farmers incomes being undermined, job losses in the processing sector and increased levels of imported food.
"This will be of no benefit to consumers, even in the short term.
“What is needed is an attack on below cost selling and an attack on the unjustified margins of 'Rip Off' Ireland today," he said.
