Fee goals to strengthen farmers’ place in agri-food provide chain
11 December 2024
5 minute learn
Yesterday, the European Fee proposed focused amendments to the present authorized framework set within the Regulation establishing a standard market organisation of agricultural merchandise (CMO) and a brand new Regulation on cross-border enforcement towards unfair buying and selling practices. These proposals intention to strengthen farmers’ place and restore the belief between actors within the agri-food provide chain. Each proposals mirror a number of suggestions of the Strategic Dialogue on the way forward for EU agriculture and reply to a few of the most urgent challenges that the agricultural sector faces, based on a government-issued press launch.
Bettering the place of farmers within the agri-food provide chain and supporting their revenue are necessary aims of the widespread agricultural coverage (CAP). The focused amendments particularly intention to strengthen farmers’ place within the agri-food provide chain and to attain the next diploma of belief between actors by:
- enhancing guidelines for contracts between farmers and patrons, making written contracts a normal obligation and enhancing the best way long-term contracts consider market developments and fluctuations of prices and financial situations;
- making the institution of mediation mechanisms between farmers and their patrons obligatory;
- boosting producer organisations and their associations by enhancing their bargaining energy, permitting Member States to grant them extra monetary help beneath CAP sectoral interventions, and simplifying the foundations on their authorized recognition;
- permitting the EU to financially help producer organisations that will take non-public initiatives to handle crises;
- defining when optionally available phrases like “truthful,” “equitable,” and “quick provide chains,” can be utilized to explain the organisation of the provision chain when advertising agricultural merchandise;
- increasing the likelihood for farmers and different actors to agree on sustainability initiatives with sure social dimensions, equivalent to supporting era renewal, preserving the viability of small farms or enhancing working situations of farmers and farm staff.
In parallel, the Fee proposes new guidelines on cross-border enforcement towards the unfair buying and selling practices within the agricultural and meals provide chain prohibited by the so-called UTP Directive. On common, round 20% of the agricultural and meals merchandise consumed in a Member State come from one other Member State. There’s a want to reinforce the cooperation of nationwide enforcement authorities, notably by enhancing the alternate of data, investigations, and assortment of penalties.
The proposal on cross-border enforcement towards unfair buying and selling practices will additional strengthen the enforcement towards unfair buying and selling practices in business-to-business relationships within the agricultural and meals provide chain by supporting transnational enforcement. The proposal introduces procedural guidelines on how this cooperation in cross-border circumstances can be carried out and achieved. By establishing a mutual help mechanism, nationwide enforcement authorities could have the likelihood to ask and alternate info and request one other enforcement authority to take enforcement measures on their behalf. This method permits enforcement authorities to agree on launching a coordinated motion every time there’s cheap suspicion of widespread unfair buying and selling practices with a cross-border dimension. Such investigations improve EU-level safety for farmers and small and medium-sized suppliers towards unfair buying and selling practices within the agri-food provide chain.
“Because the festive season approaches and households collect to share meals, we’re reminded of the dedication of farmers who make these moments across the desk potential. Equity for farmers is a key precedence,” stated President Ursula von der Leyen. “Respectable revenue, truthful costs, stronger bargaining place within the meals chain, and higher protections. That’s the reason, as one of many first measures of this mandate, I’m proud to announce proposals that can strengthen their aggressive place.”
Delivering on EU commitments
There are extra actions delivered by the European Fee following its dedication to deal with farmers’ considerations. On 22 February, the Fee introduced its first actions for simplification to scale back the executive burden for EU farmers in an enduring means. On 15 March, it introduced its proposal for a focused overview of the widespread agricultural coverage, which entered into power on 25 Might after efficiently being authorized by the Council and the European Parliament. The Fee additionally printed an outline of the focused CAP simplification measures launched because the starting of the yr, reporting on progress of their implementation and assessing their financial, social and environmental influence. General, the simplification package deal has helped EU farmers by lowering paperwork, saving time, offering authorized certainty, and providing better flexibility in managing their farms.
Additionally in March, the Fee put ahead a mirrored image paper with potential pathways to reinforce the place of farmers within the meals provide chain following the decision from the European Council to behave on the challenges that the agricultural sector is at present going through. In April, the Fee adopted a report on the implementation of EU guidelines towards unfair buying and selling practices within the meals provide chain and launched the brand new EU Agri Meals Chain Observatory (AFCO). The latter held its first assembly in July to enhance belief and cooperation inside the agri-food provide chain. Moreover, within the curiosity of elevated belief and equity alongside the meals provide chain, the Fee can also be surveying farmers and suppliers throughout the agricultural meals provide chain in all Member States to judge these ongoing measures. Responses are open till 20 December 2024.
The Fee’s proposed focused legislative amendments to the CMO and the proposed new Regulation on UTP cross-border enforcement will now be mentioned by the European Parliament and the Council in view of their adoption.
In parallel to yesterday’s proposals, the Fee has taken additional steps to help the agricultural sector. The Fee has additionally adopted an modification of the ‘de minimis’ Regulation for the agricultural sector, which exempts small quantities of help within the agricultural sector from State help management. The revised Regulation permits Member States help farmers to a bigger extent in a easy, quick, direct and environment friendly method, as such de minimis help doesn’t must be notified to nor authorized by the Fee.
