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Copa & Cogeca demand EU stop unfair trading practices

Copa and Cogeca called in Brussels today for EU legislation to be introduced to curb unfair trading practices (UTPs) in the food supply chain in its formal reaction to the EU Commission's inception impact assessment.

Copa and Cogeca submitted the response to the impact assessment in Brussels today, after it was released in July.

Copa and Cogeca Secretary-General Pekka Pesonen said "The huge imbalance of power in the food supply chain has left us with no choice but to opt for option 3 and call for legislation to be introduced to improve farmers' positioning and to stop unfair trading practices."

"It is unacceptable that farmers get for example only 20% of the profit when they are the ones who do the majority of the work producing goods. The voluntary Supply Chain Initiative (SCI) which was developed by retailers and processors, to which Copa and Cogeca did not sign up to, clearly does not work".

"Market transparency also needs to be increased. Option 2 is the preferred option here, as improved information will enable all operators in the food supply chain to make more informed decisions. In addition, we need to have derogations from competition law to enable agri- cooperatives and other types of producer organisations to grow in size and scale."

Copa and Cogeca also welcomed the publication by the EU Commission of an EU-wide public consultation on how to make the EU food supply chain fairer and are preparing a contribution to it. "We expect this to feed into the Commission's proposals which are due out in Spring 2018 so that farmers can receive a fair price for their work", he concluded.

For more information:
Paulo Gouveia
Tel: +32 2 287 27 35
[email protected]
www.copa-cogeca.eu
Publication date:

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