Canvassing politicians, set out your stalls

Economics: At the next election, which political party will take up the cudgels on behalf of the consumer? With new PD leader…

Economics: At the next election, which political party will take up the cudgels on behalf of the consumer? With new PD leader Michael McDowell now targeting Fine Gael voters, that party may want to re-examine its efforts in this area to date.

Under the guidance of Richard Bruton, Fine Gael's approach to the macro-economy, although not inspiring, has been sound and prudent. McDowell's accusations of a "slump coalition" are hardly merited.

If McDowell really wants to target Fine Gael votes, he should instead consider paraphrasing the advice given to Bill Clinton by his advisor James Carville: "It's the micro-economy, stupid."

From house prices to the cost of drinking out, from pharmaceutical product prices to grocery prices, it's the little things that are starting to matter most.

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Take last year's attempt by McDowell to permit cafe-bar licences. The move was opposed on the spurious grounds that it would promote underage drinking.

The real reason for opposing the measure was that it would bring competition into the market for drinking out: the same TDs who opposed liberalisation of the licensing regime on these grounds revealed the extent of their double think when they also fought against restrictions on advertising alcohol.

The cafe-bar licence issue is just one of several that are crucial to a new and rising demographic, the 20 to 40-year-olds exiled by rising house prices to the sprawling suburbs. And with the Garda, quite rightly, clamping down on drink driving, they increasingly need pubs within walking distance. Younger consumers also want greater variety in the type of establishment they go to.

With its crop of youngish TDs like Olwyn Enright, Brian Hayes and Denis Naughten, this issue was designed for Fine Gael to make a direct appeal to younger voters. But as usual with Fine Gael, nervous indecision triumphed over leadership.

Although he lost the battle on the issue, the fact that he did fight it leaves McDowell with untainted credibility on consumer issues.

Then came the groceries order. Again, Fine Gael were presented with an opportunity to oppose a clearly outdated piece of legislation. But before it got around to defining a clear position, the Government made a clear renunciation of the order.

Since then, Fine Gael's position has become even more confusing. Early last month, it conducted its 2006 food price survey just before that information became available.

It showed that the cost of a basket of fresh food items - beef, milk, eggs and vegetables - had increased from €20.69 last year to €22.97 this year, a rise of 11 per cent. The survey captured price developments some months after the abolition of the Groceries Order, which had banned retailers from passing on to consumers any discounts received from wholesalers. "Our study reveals that the abolition of the Groceries Order has not reduced the price of food," the Fine Gael press briefing said.

The problem here for Fine Gael is that few if any of the items contained in the Fine Gael survey were actually covered by the Groceries Order. When it was in force, the order covered processed foods. Storable, easily transportable and of homogeneous and durable quality, such goods are ideal for the kind of bulk-buy discounting that smaller and medium-sized retailers were afraid of when they lobbied for its introduction and retention.

Most of the goods measured in the Fine Gael survey were fresh food items. Less easily storable and transportable, these goods are less conducive to bulk buying.

Not only can their quality be variable, but it usually declines as the sell-by date approaches, making it essential to permit discounting.

Fresh food prices also tend to be more volatile, susceptible as it is to strong fluctuations in supply. For these reasons their inclusion in the Groceries Order was never feasible. Unfortunately no one told Fine Gael.

Fortunately, Fine Gael now have a chance to redeem themselves. The Pharmacy Bill is currently under negotiation between Government, drug wholesalers and retailers.

Consumers have been given a raw deal under the existing pharmacy regime. In 1996 and under a Fine Gael health minister, the then rainbow coalition brought in a ridiculous rule prohibiting the opening of pharmacies within 1.5 miles of an existing pharmacy.

The present Government has rescinded the measure but other aspects of pharmacy regulation remain to be determined.

One is a ministerial order from 1991 banning those with foreign pharmaceutical qualifications from running pharmacies here.

That ban will go - hopefully with co-operation at EU level to ensure that other countries allow Irish pharmacy graduates to run pharmacies abroad.

But the price for this reform may be the introduction of self-regulation by the profession, allowing a mix of existing pharmacists and politically appointed lay-people to determine who comes into the market.

Arrangements for State purchase of drugs on behalf of medical-card holders, and regulated margins for wholesalers and retailers will also be determined in the coming few months, with hundreds of millions of euro of taxpayers' money at stake. Here is a chance for Fine Gael's talented health spokesman Liam Twomey to make a clear and cogent intervention on behalf of consumers and taxpayers.

Fine Gael doesn't have much time. While the Progressive Democrats remain in Government, it is harder for the latter party to distinguish itself from Fianna Fáil.

The trouble for Fine Gael is that - just as with the Groceries Order - Fianna Fáil could somersault into a staunchly pro-consumer position.

The Labour party and Green party are also showing signs of embracing consumer issues.

As on the high street, elections work best when parties compete with each other to serve the customer. When voting day comes, voters will hopefully "shop around" and plump for the best deal on offer. Politicians, set out your stalls.