01/05/09

Deputy Sean Sherlock has called on Tesco to state what Irish brands will still be on the shelves of their 11 stores in the north east next Tuesday.

Deputy Sean Sherlock has revealed that Industry sources are claiming that Retail giant Tesco is clearing huge sections of shelves in stores in the north-east, to prepare for the stocking of hundreds of lines imported from the UK. It has been public knowledge for over a week that the giant retailer Tesco has decided to move to a UK-only sourcing model for international brands. In other words, all international brands will be sourced through the UK and delivered from there, with consequent job losses here. Industry sources estimate that up to 10,000 jobs could be at risk. According to food industry sources, Tesco is now clearing huge amounts of Irish-sourced groceries from the shelves of 11 of its stores in the North-East, to make space for hundreds of lines to be imported to Ireland over the weekend. Food industry sources have told Deputy Sherlock that Tesco is implementing UK planograms here in Ireland, replicating the shelf-space layouts of their UK stores. Deputy Sherlock said: "If Irish brands are not available on Tesco shelves, or if the space allocated to them is greatly reduced, then even more Irish jobs will begin to disappear. Suppliers are claiming that Tesco's sourcing of the international brands directly from the UK is merely the tip of the iceberg, and that it represents the beginning of a phasing-out process for Irish brands. One source claimed to have counted over 40 brands which were totally unfamiliar to Irish consumers. "I am calling on Tesco to state if, and how many, Irish brands will still be available in these stores on Tuesday when Tesco has replaced the removed stock. "If what my sources in the Irish food sector are saying is true, this move will lead to a mass extinction of Irish brands, and represents nothing less than a knife in the back for the Irish food industry. "I also want to know what Tanaiste Mary Coughlan knows about Tesco's plans and when she learnt of these plans. "I have been told that the food industry has been briefing Government for some time but have, to all intents and purposes, been ignored. "If that is the case then Minister Coughlan has sleepwalked the Irish food industry into an abyss, and John McGuinness was correct when he said that neither the Minister nor her department were equipped to deal with the complex issues facing them. "Tesco must now clarify how many Irish brands will remain on their shelves under this new regime and also how many have been dropped from these 11 stores. "The Tanaiste must also clarify what she knows of Tesco's plans and, most importantly, whether she supports this action; put bluntly, is the Tanaiste backing Tesco or the Irish food industry, and what is she going to do about the situation?"

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