EPP Group champions action to rebalance food supply chain

“The EPP Group has championed calls from Europe's farmers for EU action to tackle unfair trading practices in the food supply chain”, said Mairead McGuinness MEP, the Group’s Chief Negotiator on the Report after the European Parliament adopted it today.

EU wide-rules will protect suppliers like farmers and SMEs in the food chain against their more powerful players, including powerful retailers.

“It is a hugely significant piece of legislation which, for the first time, curtails the capacity of the powerful to squeeze the less powerful in the food supply chain”, said McGuinness, describing the significance of the legislation.

“The inequality in the chain results in farmers being badly treated by the more powerful operators, including major retailers. Practices such as late payment and the cancellation of orders at short notice will be outlawed under the new legislation.”

"The EPP Group has called for these fair rules for a long time. Now this work is being rewarded as we have garnered significant support for action. This Directive also contributes to the wider debate on the sustainability of our food supply chain”, underlined McGuinness.

“It is now up to the Member States to implement the legislation effectively. I welcome a commitment from the Commission to watch the implementation carefully.” She also recalled that this Directive does not preclude Member States from doing more to tackle UTPs in their domestic legislation.

The Directive enters into force as soon as it is published in the official journal and Member States have 24 months to adopt and publish the laws and regulations and an additional 6 months to apply the measures.