A new European Commission report on the operation of the grocery supply chain has been released, which identifies three key priorities for action to improve supply chain operation.

These constitute the promotion of sustainable and market-based relationships between stakeholders in the food supply chain; increasing transparency along the chain to encourage competition and improve its resilience to price volatility; and fostering the integration and competitiveness of the European food supply chain across member states.

The National Farmers’ Union (NFU) reinforces the need for a supermarket ombudsman and standard contracts.

NFU deputy president Meurig Raymond said: “This report echoes comments made by both the NFU and the Competition Commission about the problems in the supply chain and some of the actions that need to be taken to solve them.

“The recognition of the need to draw up community measures seeking to ban unfair contractual practices within the internal market and facilitating enforcement against such practices is especially welcome and, in addition, the report also makes other suggestions regarding exchanging information on best contractual practice, setting up awareness campaigns, and the use of voluntary standard contracts.

“This report reinforces the fact that there is no excuse for the government not to implement the Competition Commission’s findings, particularly regarding establishing an ombudsman. Experience has shown that for measures like these to give real value and benefit to consumers and farmers, there needs to be an independent ombudsman overseeing them.”