After much procrastination, the European Commission is finally drafting a communication to improve the way the food supply chain works, European Commissioner Phil Hogan confirmed on 15 May.
“It has been shown that an EU legislative initiative would help farmers”, the commissioner told the European Parliament’s agriculture committee (see EUROPE 11789). He admitted, however, that it would take some time to bring a proposal forward as the “better regulation” requirements, including completion of an impact study, have to be met before any texts can be presented.
The Commission is expected to make proposals to prevent unfair business practices and to increase market transparency and strengthen producer organisations, taking its lead from the recommendations of the agricultural markets working group. In its report submitted to Hogan on 14 November 2016, the working group suggested European legislation was needed on unfair business practices. It called, too, for clarification of European competition rules so that producers could form organisations without fear of penalties from the competent authorities.
The European Parliament has called on the Commission to put a European framework in place to address unfair business practices at EU level. The Council has been more guarded (see EUROPE 11691).
Commissioner Hogan will appear before the Parliamentary agriculture committee on 20 June, accompanied this time by Competition Commissioner Margrethe Vestager, to provide more detail on this issue. (Original version in French by Lionel Changeur)