11 October 2007 - Green Party Euro-MP Caroline Lucas has called on the EU to investigate the impact of the supermarket sector on farmers, small shops, jobs, communities and the environment.

Grocery markets across the EU are dominated by a handful of large supermarkets, which can lead to higher prices and less consumer choice. Finland is worst affected, with just five companies enjoying more than 90 per cent of the country’s grocery sector.

The four largest supermarkets in the UK - Asda, Morrisons, Sainsbury’s and Tesco - together now account for nearly three-quarters of all grocery sales at supermarkets and convenience stores. Three UK supermarkets control almost a quarter of the UK’s clothing market between them - and this is growing rapidly, forcing smaller retailers out of business.

Dr Lucas has launched a Written Declaration - the Brussels’ Parliament’s equivalent of an Early Day Motion in the House of Commons - demanding the EU Commission examine whether supermarkets abuse their dominance, and propose tough new rules to protect rural economies and the environment.

The MEP, who represents South-East England, said: "There is increasing evidence from across the EU that suggests big supermarkets abuse their buying power to force down prices paid by farmers and suppliers - both within the EU and in the developing world - to an unsustainable level and impose unfair conditions on them.

"The European Commission must investigate the sector further and propose appropriate measures to deal with any such abuses it finds - protecting our already beleaguered and usually under-rewarded farmers, the environment and rural communities."

The Written Declaration is sponsored by four other MEPs: Hungarian Socialist Gyula Hegyi, Polish Nationalist Junusz Wojciechowski, French Socialist Harlem Desir and French Green Helene Flautre. If it attracts the support of half the EU’s 785 MEPs it becomes the official policy of the European Parliament - and will be formally passed to the European Commission for action.

ENDS