Proposals to ban unfair trading practices (UTPs) in the food chain across Europe have been broadly welcomed by farm organisations and politicians. However, calls have been made for more to be done to increase transparency in the chain.
“This is the first time that there has been an acknowledgement at EU level that the food supply chain is broken to the severe disadvantage of primary producers,” Irish MEP Mairead McGuinness said.
The UTPs to be banned under EU legislation are:
Late payments for perishable food products.Last minute order cancellations.Unilateral or retroactive changes to contracts.Forcing suppliers to pay for wasted or unsold products.The European Commissioner for Agriculture Phil Hogan’s proposal requires member states to designate a public watchdog to enforce the new rules and sanctions in case of proven infringement. Member states can also take further measures as they see fit.
This is an important step in “curtailing the greedy practices and excessive profiteering at retail level”, according to the Irish Cattle and Sheep Association (ICSA).
“We need to follow this with legislation to audit the whole retail chain and discern whether there is a fair share of margins allocated to all parts of the chain,” ICSA president Patrick Kent said. “We now need to push for more transparency around how the profits from key products like beef, lamb and dairy are shared.”
It will be at least two and a half years before the directive is transcribed into national law and before Irish farmers see any change
Similarly, MEP Matt Carthy said the Commission’s proposals are not enough to address the price pressure on farmers.
“The basis of the Commission proposal is the restriction of just eight unfair trading practices, and four of these can be permitted if set out in initial contracts between farmers and buyers,” Carthy said.
“It will be at least two and a half years before the directive is transcribed into national law and before Irish farmers see any change. At national level, Sinn Féin will continue to call for the reintroduction of the groceries order for agricultural products to ban below-cost selling.”
Read more
Sold out: the fragility of the food chain
'Hello money' and unreasonable demands imposed by supermarkets on farmers
Editorial: Hogan delivers but transparency still required
France to base food prices on farmers production costs
Proposals to ban unfair trading practices (UTPs) in the food chain across Europe have been broadly welcomed by farm organisations and politicians. However, calls have been made for more to be done to increase transparency in the chain.
“This is the first time that there has been an acknowledgement at EU level that the food supply chain is broken to the severe disadvantage of primary producers,” Irish MEP Mairead McGuinness said.
The UTPs to be banned under EU legislation are:
Late payments for perishable food products.Last minute order cancellations.Unilateral or retroactive changes to contracts.Forcing suppliers to pay for wasted or unsold products.The European Commissioner for Agriculture Phil Hogan’s proposal requires member states to designate a public watchdog to enforce the new rules and sanctions in case of proven infringement. Member states can also take further measures as they see fit.
This is an important step in “curtailing the greedy practices and excessive profiteering at retail level”, according to the Irish Cattle and Sheep Association (ICSA).
“We need to follow this with legislation to audit the whole retail chain and discern whether there is a fair share of margins allocated to all parts of the chain,” ICSA president Patrick Kent said. “We now need to push for more transparency around how the profits from key products like beef, lamb and dairy are shared.”
It will be at least two and a half years before the directive is transcribed into national law and before Irish farmers see any change
Similarly, MEP Matt Carthy said the Commission’s proposals are not enough to address the price pressure on farmers.
“The basis of the Commission proposal is the restriction of just eight unfair trading practices, and four of these can be permitted if set out in initial contracts between farmers and buyers,” Carthy said.
“It will be at least two and a half years before the directive is transcribed into national law and before Irish farmers see any change. At national level, Sinn Féin will continue to call for the reintroduction of the groceries order for agricultural products to ban below-cost selling.”
Read more
Sold out: the fragility of the food chain
'Hello money' and unreasonable demands imposed by supermarkets on farmers
Editorial: Hogan delivers but transparency still required
France to base food prices on farmers production costs
This is a subscriber-only article
SHARING OPTIONS: