The 2019 EU Directive on unfair trading practices (UTP) in the agri-food supply chain marked an important step towards fairer commercial relations in Europe’s strategic agri-food chain.
In the forthcoming revision of the Directive, policymakers should address evolving retailer practices that current rules are no longer able to adequately capture. The revision should deliver a more coherent framework for tackling UTPs, one that reflects the close interdependence between farmers and food and drink makers.
Why should the UTP Directive be revised?
- High retail market concentration facilitates unfair trading practices
- European Retail Alliances have exacerbated unfair trading practices
- The cascading effect on farmers is severe
- Europe’s largest manufacturing sector calls for urgent action
How should the UTP Directive be revised?
- The current threshold defining the scope of application of the Directive should be removed
- The ‘blacklist’ of UTPs needs to be expanded
- Suppliers need more uniform enforcement
- Fear of retaliation continues to deter action