New rules on cross-border enforcement against unfair trading practices

We would all like to see the position of farmers in the supply chain being strengthened.

To this end, bolstering the authorities’ enforcement capacities when it comes to unfair trading practices is a first step. Without real enforcement, it’s pointless introducing more and more rules.

Ensuring that our rules are properly enforced in cross-border situations is just as crucial. We operate in a market of 27 Member States, and the free movement of goods within our internal market is of the utmost importance.

We therefore welcome the Commission’s proposal, published on 10 December last, which seeks to improve cooperation between the national authorities responsible for enforcing the Unfair Trading Practices Directive.

Complainants’ access to the procedures is a fundamental issue here. And the fact that the authorities do not understand our laws is particularly problematic. We therefore need to improve coordination and cooperation and explain what kinds of requests the authorities can make, and the types of actions they can take.

The Commission’s proposal is not revolutionary, but it is definitely needed. It does not revise the existing legislative framework, but aims to clarify the tools available to the authorities in this area. And that needed to be done, because at the moment too few authorities are making use of those tools, for lack of knowledge or understanding.

The representatives of the ‘Strategic Dialogue on the future of EU agriculture’ understood this. This was one of their conclusions with a view to improving the competitiveness of the food supply chain and the position of farmers in this chain.

We commend their work, as well as the collaborative spirit with which the members of the Strategic Dialogue adopted the recommendations that we hope to see implemented rapidly.

This proposal for a regulation is part of the European Commission’s three-phase work programme aimed at strengthening the position of farmers in the supply chain, involving immediate, short-term and medium-term measures. This proposal is one of the immediate measures. We are calling for this proposed regulation to be rapidly adopted, without major amendments.

However, we would like to emphasise the major risk that would be involved in making alterations to facilitate cooperation between national authorities in relation to rules that diverge or have not been harmonised.

This is because, once again, the transposition of the so-called UTP Directive (Unfair Trading Practices) has seen the Member States adopt different rules and more and more practices that no longer fall within the scope of this Directive. The immense potential for cooperation that this Directive provides cannot be applied to these national rules. The legal uncertainty that would result would have serious consequences for our internal EU trade. We are therefore calling on the co-legislators to ensure that the measures set out in this regulation apply only to the trading practices and thresholds that are harmonised at EU level.

Another key point is that the difficulty involved in dealing with certain issues in Brussels – issues that are, however, common to many countries – must not mean that we adopt fall-back solutions or renationalise our supply. Enrico Letta warned us about this in his report.

We have a single market, and so we need to find common solutions. And yet, when it comes to European food sovereignty or national food sovereignty, some Member States seem to have already made up their minds. Here at the EESC, we will also have the opportunity to debate these issues in the coming months, with the revision of legislation on unfair trading practices, on the common organisation of agricultural markets and on the common agricultural policy.

I believe in the internal market, as does our NAT section. We therefore call on the co-legislators to preserve the internal market and to avoid proposing measures that would legitimise regional supply constraints, with the serious consequences that would have for consumers and for product sustainability.

If we really support the internal market, as we’ve heard over and over again in recent weeks, let’s prove it and swiftly adopt this legislation, with as few changes as possible. Those operating in this field need it if they are to work in a market with a level playing field.

Author: Emilie Prouzet, EESC Employers' Group member and Rapporteur of opinion NAT/945 New rules on cross-border enforcement against unfair trading practices