Unfair Trading Practices in the Food Supply Chain: Regulating Right?

2018 ◽  
Vol 9 (4) ◽  
pp. 690-700 ◽  
Author(s):  
Hanna SCHEBESTA ◽  
Tom VERDONK ◽  
Kai P PURNHAGEN ◽  
Bert KEIRSBILCK

This report examines the pending Proposal for a directive on unfair trading practices in business-to-business relationships in the food supply chain, and its proposed amendments. It provides a general overview of the current content of the Proposal and analyses the proposed rules from a legal perspective. We find that: (1) the CAP legal basis may prove insufficient for regulation that covers the entire agri-food chain; and may (2) result in a strained relationship with the competition and consumer acquis; (3) the empirical basis for the prevalence of unfair trading practices, and the effect of their prohibition is relatively dire, which results in uncertainty with regard to the achievement of the future UTPD’s intended effect and effectiveness; (4) the choice for specific targeted prohibitions instead of general umbrella clauses may lead to ad hoc regulation that leaves large loopholes; (5) the institutional enforcement mechanism makes it likely that the Proposal contributes to the foundation for a new area of EU law, which will increasingly regulate practices in business-to-business relationships.

2020 ◽  
Vol 5 (1) ◽  
pp. 62-72
Author(s):  
Magdalena Knapp

The article focuses on the scope of the Directive (EU) 2019/633 of the European Parliament and of the Council of 17 April 2019 on unfair trading practices in business-to-business relationships in the agricultural and food supply chain. It discusses recent developments in regulatory approach to unfair trading practices. It analyses steps taken towards uniformity in this area of law within the EU and contemplates whether there is a need for further harmonisation. The article attempts to evaluate the scope of the UTP Directive, focusing mainly on a material scope inherently linked to the notion of “agricultural and food products” and characteristics of unfair trading practices. It also discusses whether Member States should consider widening the national regulations beyond food supply chain so that their scope would cover vertical relationships in every sector of the economy.


2020 ◽  
pp. 135-154
Author(s):  
Trinidad Vázquez Ruano ◽  
Juan Latorre Ruiz

The work we present addresses the new challenges that arise in the European framework regarding the agri-food chain, following the recent approval of Directive (EU) 2019/633 of 17 April on unfair trading practices in business-to-business relationships in the agricultural and food supply chain. The European Commission has dealt with small and medium-sized food and agricultural companies, producers and farmers in the food supply chain who represent a vulnerable sector in the agri-food supply chain. The new normative text aims to limit the possible unfair trading practices that are carried out in the supply chain and that involve the alteration of the equal opportunities of small and medium-sized food and agricultural companies, producers and farmers. Fundamentally due to the diverse negotiation capacity, in accordance with the proposals for the modernisation of the Common Agricultural Policy (CAP).


2021 ◽  
Author(s):  
Vlatka Butorac Malnar ◽  
Mihaela Braut Filipović ◽  
Antonija Zubović

In recent years, the need for a systematic and harmonised way of preventing unfair trading practices (hereinafter UTPs) in the food supply chain has intensified at the European level due to many diverging national legislative solutions. These efforts resulted in the Directive 2019/633 on unfair trading practices (UTPs) in business-to-business relationships in the agricultural and food supply chain. Croatian UTPs Act, enacted already in 2017, was just amended to conform with the requirements of the named Directive. Generally speaking, the UTPs Act sets out rules and measures to prevent the imposition of UTPs in the food supply chain, establishes the list of such practices and sets up the enforcement structure and sanctions. Comparing the Directive to the UTPs Act, the authors discuss the outcome of the transposition pointing to the incorrect scope of application of the national legislation, its potential consequences and de lege ferenda solutions. Further, the authors anlyse the legal nature of the adopted UTPs system concluding that it does not fit into the traditional systematisation of laws jeopardising the coherency of the intricate and complex relationship between relating legislative frameworks. New rules are diverging and overlapping with both competition and contract law, leading to possible undesirable spill over effects in contract law, and unresolved concurring competence with competition law. Authors suggest precautionary interpretative measures as a means of solving the identified legal conundrum.


2012 ◽  
Vol 3 (1) ◽  
pp. 45-47
Author(s):  
N.Arunfred N.Arunfred ◽  
◽  
Dr.D.Kinslin Dr.D.Kinslin

New Medit ◽  
2020 ◽  
Vol 19 (1) ◽  
pp. 19-34 ◽  
Author(s):  
Marinos Markou ◽  
Andreas Stylianou ◽  
Marianthi Giannakopoulou ◽  
Georgios Adamides

Unfair Trading Practices (UTPs) between businesses in the food supply chain have a significant impact on the various stakeholders involved, and on the environment. So far, no attempt has been made at the Member State level for the identification of UTPs in the food supply chain and their impact on the relevant stakeholders. This study drew on this gap and attempted to identify the UTPs that exist in the Cypriot food supply chain, assess their impact on the involved stakeholders and provide guidelines that will assist the transposition of EU relevant Directive to the national law. To achieve this goal, the study was based on a quantitative survey of a representative sample of businesses using a specific questionnaire. The results showed that particular UTPs do appear in the food supply chain with a different frequency, while the majority of businesses have been victims of UTPs in the last five years. Notably, the estimated cost of UTPs as a percentage of the business annual turnover is considered important ranging from 5.7% for retailers to 31.9% for farmers. Thus, most participants agree that UTPs in the agricultural food sector should be regulated by national legislation. We argue that the national legislation for UTPs should be a mix of policies that integrate private, administrative and judicial methods of monitoring and enforcement. Policy and decision makers should seek to reinforce the role and the bargaining power of small businesses in the food supply chain. This might be accomplished through the development of efficient producers’ organizations, short food supply chains, interbranch organizations and strategic partnerships.


Author(s):  
Zhaohui Wu ◽  
Madeleine Elinor Pullman

Food supply chain management is becoming a critical management and public policy agenda. Climate change, growing demand, and shifting patterns of food production, delivery, and consumption have elicited a series of new challenges, such as food security, safety, and system resiliency. This chapter first introduces the typical players in a food supply chain and examines the global food system characterized by consolidation and industrialization. It then discusses some critical topics of the sustainable food supply chain that aim to address these challenges. These topics include traceability, transparency, certification and standards, and alternatives to industrialized food systems, including cooperatives, community-supported agriculture, and roles of small and medium-sized growers in regenerative agriculture. The chapter ends with a discussion of several important emerging logistics management topics, including last-mile delivery, new technology, and cold chain management.


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