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COPA-COGECA WELCOMES COMMISSION PLANS TO IMPROVE FUNCTIONING OF FOOD SUPPLY CHAIN BUT ARGUES MORE ACTION IS VITAL

Date

29 Oct 2009

Sections

Agriculture & Food
Health & Consumers

Copa-Cogeca welcomed in Brussels today the EU Commissions’ plans designed to improve the functioning of the EU food supply chain as a step in the right direction, but warns that much stronger measures are urgently required to ensure that cooperatives and producers’ position in the food chain is strengthened.

Copa-Cogeca argues that the growing disparity between producer and consumer prices has reached such a point that it is vital for the EU institutions to take action. The EU food market is dominated by large retailers and farmers share in retail food prices is continuing to be eroded.
EU politicians must consequently rapidly step up their efforts to take action against the imbalances of power in the food chain.

Copa-Cogeca Secretary-General Pekka Pesonen insisted “We want measures to facilitate the concentration of supply to make sure that farmers can have a better position on the market. We need action to support and encourage farmers to fully use their cooperatives potential. We need
measures to address the problems of late payments, market abuses and distortions of competition in the food chain. This will contribute to the smoother running of the food chain and fairer competition, thus enabling farmers to obtain a larger proportion of the value added”.

Copa-Cogeca welcomes the Commission’s Communication as a step forward. It also welcomes Euro-MPs latest proposal to create a “European Farm Prices and Margin Observatory” to report upon the gap between the prices consumers pay for food and the price the farmer receives. The
gathering of credible data is needed as a first step to addressing the imbalances in the food chain. Copa-Cogeca has been asking for some time for the setting up of a monthly monitor of wholesale and retail prices of food, the farm-retail price-spreads and the share of agricultural
raw material. Copa-Cogeca consequently welcomes the adoption of this amendment by European Parliament and calls for it to be set up as quickly as possible. More action is however required in order to put an end to the large imbalances in the food chain.

For further information, please contact:

Pekka Pesonen
Secretary-General
Tel.: +32 2 287 27 27
Pekka.Pesonen@copa-cogeca.eu

Amanda Cheesley
Press Officer
Mobile: + 32 474 840 836
amanda.cheesley@copa-cogeca.eu

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