Farming organisations have called on the government to extend the powers of the Groceries Code Adjudicator to tackle producers, as ministers get set to launch a consultation into the remit today.
The Groceries Code Action Network, a coalition of NGOs, unions and food groups, said it was vital the adjudicator, Christine Tacon, was given more power to tackle abuses throughout the supply chain.
Its 23 member organisations, including the Fairtrade Foundation, the NFU and the Tenant Farmers Association applauded the work done by Tacon, including the investigation into Tesco that this year saw her find the retailer guilty of delaying millions of pounds’ worth of payments to suppliers.
But the GCAN said the watchdog’s remit should be extended to give Tacon the power to support better trading practices further along food supply chains.
“The GCA has already done important work to improve the grocery sector for consumers by clamping down on unfair dealing and encouraging the UK’s top supermarkets to improve relations with the firms who supply them,” said Fairtrade Foundation CEO Michael Gidney.
“The GCA has played a key role over the past three years in preventing the acceleration of unfair trading practices amongst the major UK food retailers. The reality is that there is still a long way to go to achieve a food system that is fair for all.”
“However, the Fairtrade Foundation is concerned that farmers on the ground are still bearing the major brunt of unfair trading, particularly those in developing countries, where the GCA currently has no authority to intervene.
“We hope this review will be an opportunity to extend the GCA’s powers, to ensure fair trading practices, such as paying suppliers on time and in full, are supported at every level of the supply chain.”
Dan Crossley, executive director of the Food Ethics Council, added: “The GCA has played a key role over the past three years in preventing the acceleration of unfair trading practices amongst the major UK food retailers. The reality is that there is still a long way to go to achieve a food system that is fair for all. A genuinely fair food system means there is a fair share for all those involved in food supply chains, fair play in how businesses engage with each other, and everyone being given a fair say. Unfair trading practices still exist in the food supply chains of major UK food businesses - with both domestic and international suppliers and farmers. We therefore urge the UK government to further strengthen the scope, reach and power of the GCA.”
Edd Colbert, campaign & research manager for Feedback, which has called for the role to be extended to tackle food waste, said: “Unfair trading practices lead to overproduction due to increased risk for suppliers, ultimately causing good food to go to waste. The GCA has made significant progress in combating these practices where they occur between retailers and their direct suppliers, but requires greater power to ensure that the impacts of these practices are not passed back up the supply chains, particularly to farmers.”
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