Unfair trading practices in the agricultural and food supply chain

FEVIA welcomes the evaluation of the UTP Directive. Fair trading practices are a prerequisite for placing quality and affordable products on the market and for responding to societal challenges. Fairness in the supply chain is recognised as a need for a sustainable and resilient ecosystem. UTPs can put pressure on food companies’ profits and margins, reducing firms’ investment capacity.

Filed in Dutch · English published by the European Commission

LTO NEDERLAND supports the feedback of COPA. LTO remains supportive of the EU legislative against unfair trading practices in agrofood and the ornamental sector (live plants). Although in the Netherlands, the ACM and De Geschillencommissie have received limited reponse and complaints so far, LTO believes the new legislation has helped to define to operators what is and what isn't 'unfair'.

The Union of Small Farmers and Livestock Farmers (UPA) is a professional agricultural organisation that brings together, represents and defends the interests of agricultural and livestock professionals in Spain. UPA has more than 80.000 members in all areas whose owners are small and medium-sized farmers.

Filed in Spanish · English published by the European Commission

The European Institute for Animal Law (the Institute) welcomes the European Commission’s call for input on the evaluation and fitness check of the Directive on unfair trading practices in the agricultural and food supply chain.

Filed in French · English published by the European Commission

The Fair Trade Forum of the Association of Fair Trade in Germany – reiterates the need for strong legislation to combat unfair trading practices (UTPs) in global supply chains to protect small food producers and family farmers from buyers who abuse their market power.

Filed in German · English published by the European Commission

EuroCommerce, the EU association for retailers and wholesalers, welcomes the possibility to provide comments to the European Commission as part of the initial stages of the evaluation of the Directive on unfair trading practices in the agri-food supply chain. As a measure based on the agriculture provisions of the Treaty, the Directive should be assessed against its impact on farmers.

Union of Farmers and Livestock Unions (TR ID) Transparency Register 643875852019-50 following the entry into force of Directive (EU) 2019/633 of the European Parliament and of the Council of 17 April 2019 on unfair trading practices in business-to-business relationships in the agricultural and food supply chain; one of the European Commission’s obligations in this respect is to assess and monitor the effectiveness…

Filed in Spanish · English published by the European Commission

The Ilec-La Voices of brands represents more than 100 manufacturers of large brands in the mass consumption sector. These manufacturers are present in all territories of France with more than 1000 sites, including 500 industrial sites. They directly employ 150 000 employees and transform more than half of French agricultural production into volume.

Filed in French · English published by the European Commission

FoodDrinkEurope, representing Europes food and drink industry, welcomes the start of the evaluation process of the Directive (EU) 2019/633 on unfair trading practices (UTPs) in business-to-business relationships in the agricultural and food supply chain, and the opportunity to provide feedback.

IFOAM Organics Europe welcomes the opportunity to provide feedback via this consultation on the implementation of the Unfair Trading Practices directive. IFOAM Organics Europe has been supportive of this Commissions initiative since its inception given the importance of ensuring fair prices for EU and non-EU producers as well as fairness in the supply chain.

The Danish Chamber of Commerce welcomes the opportunity to provide comments on the Commissions call for evidence (Call for Evidence) for an evaluation/fitness check on the Agricultural & food supply chain combating unfair trading practices, published on 18 October 2023.

Copa and Cogeca representing farmers and agricultural cooperatives all across the EU have been favourable to this Directive from the beginning even if in some aspects it could have gone further in protecting and defending the weakest links in the agri-food chain.

Copa and Cogeca representing farmers and agricultural cooperatives all across the EU have been favourable to this Directive from the beginning even if in some aspects it could have gone further in protecting and defending the weakest links in the agri-food chain.

The FEEF is fully in line with the Directive’s state of play, and its objectives are clear: it is necessary to address the imbalance of bargaining power in trade relations between large suppliers with strong economic power and smaller suppliers of agricultural and food products.

Filed in French · English published by the European Commission

The Fair Trade Advocacy Office (FTAO) welcomes the beginning of the evaluation process of the Directive on against Unfair Trading Practices in the agri-food supply chain and looks forward to keep contributing to this evaluation process.

The Catalan Federation of Nurseries represents the producers and traders of live plants, the nurseries, of Catalonia, Spain. We represent 270 nurseries, which produce around 80% of the plants grown in the area. The Government of Spain transposed Directive (EU) 2019/633 through Law 16/2021, of 14 December, amending Law 12/2013, of 2 August on measures to improve the functioning of the food chain.

The Directive on Unfair Trading Practices and its implementation in Germany has proven effective in reducing several unfair trading practices used by companies buying dairy products. Many contracts have been adjusted. The contact and exchange with the implementing agency works well, but it lacks personnel capacity. Although it is possible to introduce anonymous complaints, the fear factor is still high.

The Fédération Française des Spiritueux (FFS) brings together French producers and distributors of spirit drinks who join, either directly or indirectly through a professional organisation. It comprises more than 250 companies active in all regions of France and metropolitan and ultra-marine, of which 90 % are small and medium-sized enterprises.

Filed in French · English published by the European Commission

We respond as an organisation representing almost 1 000 entrepreneurs, job creators, breeders, processing milk produced on their farm into dairy products (cheese and fresh natural or flavoured products) out of the 7 000 identified in 2022 (IDELE).

Filed in French · English published by the European Commission

Oxfam reiterates the necessity for strong legislation that combats Unfair Trading Practices (UTPs) in global supply chains for the protection of small-scale food producers and family farmers from buyers that abuse their power.

The EU Directive only protects suppliers with an annual global turnover of up to 350 million. However unfair trading practices do not discriminate by size of supplier. The European Commission acknowledged that suppliers of all sizes are affected by UTPs in the proposal for legislation COM (2018) 173 but decided to exclude many players in the supply chain by focusing only on SMEs and farmers despite the integrated…

Distributors regulate supply conditions in their framework supply contracts, usually through 30-40 pages. They are drafted completely unilaterally, dissenting opinions are adopted in very rare cases, and all proposals for changes are generally rejected. As suppliers and manufacturers do not want to lose the market, they are forced to sign but make themselves completely vulnerable.

Filed in Hungarian · English published by the European Commission

About Tanzania Horticultural Association (TAHA) TAHA is an apex private sector member-based organization entrusted to promote and develop a competitive and sustainable horticulture industry in Tanzania. TAHA promotes the development of fruits, vegetables, spices, herbs and flower value chains in Tanzania. TAHA works with approximately 25,000 smallholder farmers in Tanzania who are engaged in the above value chains.

The Malta Sociological Association (MSA) welcomes this initiative, particularly due to its consideration of the social dimension. In this regard, the MSA is proposing that Social Impact Assessments (SIAs) should be incorporated and mainstream in this policy process. SIAs should not be one-off exercises.

Ladies and gentlemen, the Unfair Commercial Practices Directive and national implementation in the EU Member States have a good legal basis. However, we note that, despite the numerous efforts made by national authorities, the situation has hardly changed, including anonymous whistleblowing systems for economic operators.

Filed in German · English published by the European Commission

The Committee National des Interprofessions de Vins à Appellation dOrigine et à Indication Geographic Indication (CNIV) supports the current European rules for the measures put in place and recalls the need to keep these legal payment deadlines and the derogations attached thereto for the wine sector.

Filed in French · English published by the European Commission

The French agricultural union ‘Coordination Rurale (CR) Union Nationale’ thanked the European Commission for its consultation in the context of the evaluation and fitness check of the Directive on unfair trading practices in the agricultural and food supply chain.

Filed in French · English published by the European Commission

Dear the European Union’s Committee on Agricultural Policy, The European Union’s decades of ambition to produce safe food in Europe is really remarkable! This is a long process over a number of years and is the result of difficult but sustained and sustained work by both producers and the competent offices.

Filed in Hungarian · English published by the European Commission

The UTP directive together with the national implementing legislation (and the possibility to adapt the legislation to the national needs and specificities) provides a crucial instrument to foster the position of the weaker partners in the supply chain especially that of primary producers.

It is of great importance for producers that there is a balanced bargaining position with customers. In the Netherlands, producers still face widespread unfair trading practices. Customers but also suppliers apply supply conditions on a large scale that relatively small producers cannot embrace, simply because those producers do not have delivery terms themselves or because they are overruled by the first.

Filed in Dutch · English published by the European Commission

Unfair trade practices have been addressed by this regulation, but so far it does not give a sufficient response to one of the main reasons why farmers are affected by unfair trading conditions and practices: Producers' position in the market is not strong enough - the market is working against them. Agricultural producers are constantly paid prices that are far below the cost of production.

This may have had an impact on combating unfair commercial practices at an early stage, between the producer and the processor. Unfortunately, it did not solve the efficiency of communication between the manufacturer and the global trader (e.g.

Filed in Latvian · English published by the European Commission