A ban on below-cost alcohol sales would not curb binge drinking, the Irish Competition Authority has warned - it would only end up lining the pockets of the supermarkets.
In a submission to the special advisory group preparing recommendations for Irish Justice Minister Brian Lenihan on the issue, the authority said there was no evidence offers such as bogofs turned moderate drinkers into alcohol abusers. Banning below-cost sales, it argued, would penalise consumers and make alcohol sales more profitable for supermarkets.
Authority chairman Bill Prasifka said it was "not surprising" that calls to reinstate the groceries order, which banned below-cost sales, were coming from the on-trade. Removal of the ban had contributed to "a dramatic shift" from drinking in pubs to drinking at home, though not to an overall increase in alcohol consumption, he added.
Prasifka said the way to curb excess drinking was by increasing prices through higher alcohol taxes.
That suggestion was criticised by a spokesman for the Irish drinks industry, who said the Republic already had the highest excise duty on wine and beer in the EU and the second-highest on spirits.
Meanwhile, in its submission to the advisory group, the Irish Beverage Council, representing soft drinks suppliers, blamed supermarkets, c-stores and petrol stations for "facilitating irresponsible consumption of alcohol". It called for tighter controls on sales in such outlets, and for an advertising ban on price-based promotions.
Irish doctors, through the Royal College of Physicians, went further, calling for an immediate ban on alcohol sales in petrol stations and "the ultimate phasing out" of sales at supermarkets and c-stores.
The advisory group is due to report by the end of March and legislation to implement its recommendations is expected to be brought before parliament soon afterwards.
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