Powers over future supermarket acquisitions
De Rossa asked whether the Department could prevent major chains from expanding through purchases or leases of empty stores. Brennan said the Monopolies and Mergers Act could address disproportionate market growth and that he would expect it to apply if either chain bought the remaining vacant stores.
Have the Minister's Department had any role at all with regard to any of the major groups such as Dunnes or Quinnsworth buying up or taking leases on empty stores which would presumably increase their share of the market? Has he any powers or does he propose to take any powers in that regard?
Comment on this
I understand, subject perhaps to correction, that the Monopolies and Mergers Act would come into effect if there was an obvious disproportionate increase in any company's share of the market. Our aim is to get maximum competition into the marketplace, and we have tried to achieve that. We will use the Monopolies and Mergers Act to ensure at all times that there is genuine competition in the market. We are not anxious that any stores or multiples of stores would get an over-dominant position in the market. What is a dominant position we have to judge as best we can. That is why I hope these 13 additional stores will fall into the hands of independents and will provide genuine competition to the existing supermarket structure.
Comment on this
If the remaining 13 vacant shops were bought by Dunnes or Quinnsworth would the Monopolies and Mergers Act come into effect in this respect?
