The Regional Secretary for Agriculture and Forestry stated today that another important step has been taken at European level to defend farmers' income through the adoption of a Community directive protecting them from unfair trading practices.
 
"The primary goal is to ensure the protection of small and medium-sized farmers, who will now benefit from greater security and legal support to defend their interests," João Ponte said, noting that "this measure will have a positive impact in the Azores due to the weight of agricultural activities in the Region."
 
The government official emphasised that Azorean farmers are subject to the pressure and the power exerted by market supply chains given the small size of the Region. With this measure, their legal protection will be enhanced and, consequently, negotiations and trade relations will be fairer.
 
On Monday, MEPs voted in Strasbourg for a new EU directive aimed at ensuring fair treatment for farmers and small and medium-sized companies in the catering sector, as they are vulnerable to unfair treatment by large-sized businesses such as supermarkets or retailers.
 
João Ponte said the new rules will ban, for example, outstanding payments for perishable food, last-minute cancellations, unilateral and retroactive changes in contracts, the suppliers' obligation to pay for product waste and the refusal of signing written contracts, among other measures.
 
The directive includes other practices, such as the return of unsold products to suppliers, which will only be allowed if they are clearly pre-agreed by both parties.
 
These rules against unfair commercial practices will now have to be formally approved by the Council before they can enter into force.

The Member States of the European Union will then have 24 months to transpose it into national legislation.