Combating Unfair Trading in the Food Supply Chain

Summary

A resolution calling for stronger EU-wide rules and enforcement to stop unfair trading practices that exploit farmers and small food suppliers.
10 07.06.2016
Other
trade
economy
social policy
public administration
business and competition
agriculture, forestry and fisheries

Key points

  • The food supply chain is a vital sector for the EU, employing millions and contributing significantly to the GDP.
  • Small producers and SMEs are disproportionately affected by unfair practices due to their limited bargaining power.
  • Common unfair practices include payment delays, sudden contract cancellations, and the unfair transfer of transport or promotion costs to suppliers.
  • The 'fear factor' prevents many small businesses from reporting abuses for fear of losing their commercial relationships with large retailers.
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