MAGAZINE - Copa-Cogeca

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8 │ April 2012 Euro Coop highlights benefits of principles of good practice in food chain and events scheduled for international year of cooperatives In a bid to combat unfair and abusive practices along the food chain, notably in contractual relations, Rodrigo Gouveia, Secretary-General of Euro Coop, highlighted in an interview the benefits of the recently agreed set of principles of good practices. The move signifies a major achievement for all actors along the food chain, from farmers, agricooperatives, traders, food industry, to retailers. These unfair commercial practice s may include cases where contracting parties refuse to put essential terms in writing in agreements, making it difficult to establish rights and obligations. This work led to a set of principles of good practices and examples of fair and unfair practices to ensure a better functioning food supply chain and was carried out by a multistakeholder dialogue group composed of 11 European representative organisations. This was set up within the framework of the High Level Forum for a Better Functioning Food Supply Chain, chaired by Vice-President Tajani. The general and specific principles cover aspects such as written agreements, predictability of changes in contractual terms, compliance, information, confidentiality, responsibility of contractual partners. For example, contracting parties must ensure that the agreements are put in writing where practicable. Mr Gouveia went on to outline other major challenges facing him at the moment such as the Commissions sustainable consumption and production action plan which includes issues such as labelling, educating consumers. He is also working on the retail action plan which could include issues such as harmonising labelling requirements. Euro Coop will also participate in the International Year of Cooperatives 2012,highlighting the crucial role cooperatives play in the marketplace and the key contribution they make to the EU 2020 strategy for growth and employment. Together with Copa-Cogeca, Euro Coop will hold a major Seminar in Cooperative Week on “Cooperatives Working Towards a Fair and Competitive Food supply Chain” and co-organise a Youth Conference in June as well as a Consumer Cooperative Worldwide workshop in the last week of October. The agreement was warmly welcomed by the High Level Group and Mr Gouveia stressed that it represents a big step forward, especially as it applies to the whole food chain and does not discriminate a single sector. It demonstrates we can bridge our differences, he added. For those that sign up to it, it will mean that they will have to take up and apply the principles. It should be widely used, he insisted. Mr Gouveia is chairing the group responsible for drawing up a framework for implementation and enforcement before the end of June to ensure the rules are properly enforced and disputes are solved when principles are not applied. This is a major challenge, he said. Among other features, there will have to be sanctions if the principles are not applied, he added, but the group is reflecting on the best type of dissuasive penalties to impose.
April 2012 │ 9 Peter Pascher, Chairman of the EU Comissions Rural Development Advisory Group , welcomed in an interview many aspects of EU Commission proposals on Rural Development Policy under the future Common Agricultural Policy (CAP). But he expressed major concerns about proposed criteria for a new delimitation of less favoured areas (LFA), warning it will be a disaster for some Member States. He also highlighted the need to reduce red tape under the proposals. Mr Pascher stressed “Overall, we favour the Commissions’ approach on future EU rural development policy. In particular we like the move from the ‘axis’ approach to a thematic approach under the Rural Development Policy proposals. We think this will give Member States or regions more flexibility to take account of their own specific conditions. We also support the new and further developed measures, such as knowledge and innovation transfer and cooperation measures. We welcome the new European Innovation Partnership which will bring together farmers, advisors and researchers”. But we are very worried about the review of LFA whereby much of the previous LFAs would lose their status and others would gain. “We don’t know how we can explain this to Many aspects of future EU rural development policy proposals welcomed but serious concerns over IFA review, Peter Pascher chairman of commission advisory group “rural development” stresses farmers or taxpayers”, he said. Copa-Cogeca urges Ministers to take into account its proposals and hopes Council and MEPs will agree on a delimitation of LFAs which is comprehensible and takes in account the real difficulties in land management. He continued “We also have serious concerns about Commission proposals to further green the CAP and make 30% of farmers direct payment dependent upon complying with environmental conditions. It increases the burden on farmers significantly and raises farm costs or diminishs farm receipts, reducing their competitive position. For example, it is very difficult for many farmers to grow 3 crops for climatic or agronomic reasons. If this measure remained under the second pillar of the CAP, farmers would be able to decide voluntarily whether to do it, promoted with a premium, or whether to choose other measures”. Copa-Cogeca is calling for measures to encourage “green growth”. For example, measures which help farmers achieve resource efficiency – to use less water, fossil energy and fertilizers - such as precision farming. That way farmers benefit from reduced costs, they maintain production but they also benefit the environment. Or measures to encourage more bio-energy production including the use of residues. Copa-Cogeca is calling for a specific article under Rural Development on green growth measures, just as there is a specific article for animal welfare and so on. “We meanwhile welcome the 7 specific articles on forestry even if some improvements are needed”, he added. Mr Pascher went on to highlight the need to simplify the Leader initiative, which aims to encourage sustainable development in the region, saying it takes too much time for many farmers and needs to become more attractive for entrepreneurs in order to become effective and more sustainable.
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