On 25 May 2011, several thousand Irish farmers took to the streets of Dublinto protest at a dawn raid conducted by the Competition Authority at the headoffices of the Irish Farmers Association (the “IFA”).

According to the Authority, the raid was part of an ongoing investigationinto possible price-fixing in liquid milk and followed incidents where farmershad disrupted normal business at a number of retail outlets.

The IFA has complained that the Authority has unfairly targeted strugglingfarmers seeking to negotiate a fair price for their milk, rather than the retailmultiples. It has called for legislation to tackle what it sees as inequality inthe food supply chain.

The usually reticent Authority has responded to the allegations, pointing outthat the search was carried out “in a highly professional manner” and making itclear that its work is focused on protecting competition to benefit consumersand the economy as a whole, and that it uses its statutory powers to thisend.

The Authority seems set to continue its investigation, and the Minister forJobs, Enterprise and Innovation has declined to interfere. However, the broaderissue of “fair trade” legislation, and a possible code of practice in thegroceries sector, remains on the political agenda.