A major report has been published this Wednesday which plays a key role in the fallout between the IFA and ABP.

The IFA-commissioned study focuses on the competition implications of the proposed acquisition of the Allen family shares in Slaney by ABP. Currently Slaney is jointly owned by the Allen family and Northern Ireland-based Linden Foods, part of the Fane Valley co-op.

The IFA accused ABP of withdrawing from the automatic collection of the EIF levy as a result of its oppostion to ABP's pursuit of the Allen family share of Slaney Foods. This is a claim which ABP described as "disingenuous".

Competition authorities

The report, which was completed by Dr Pat Mc Cloughan of PMCA consulting, has already been sent to the relevant competition authorities in Dublin, London and Brussels as well as Minister for Agriculture Michael Creed, who was called on to address the competition issues for farmers.

Launching the document, Joe Healy said: “The main conclusion of the report is that the primary procurement market for farmers selling cattle in Ireland to the meat factories is characterised by weak competition and the proposed deal is likely to weaken competition even further, through a ‘substantial lessening of competition’. He said the report outlines the chief concern over the proposed transaction is that it would make coordinated effects in the relevant markets more likely.”

Stay tuned to www.farmersjournal.ie and see this week's Irish Farmers Journal for full details and analysis of the report.

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