Farmers welcome proposed 'overhaul' of EU public procurement rules

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European farmers have welcomed proposed changes to public procurement rules.

EU farm organisation Copa Cogeca has said the European Commission’s proposal to overhaul the EU’s public procurement framework "marks a potential shift in how Europe uses public spending, notably for food".

The commission said it has adopted a proposal for a new regulation to "modernise and simplify" the EU's public procurement framework.

Copa Cogeca said for farmers and agri-cooperatives, this reform could provide a concrete way to strengthen Europe’s strategic autonomy and "ensure that European taxpayers' money supports Europe’s own production capacity, after years of procurement practices focused primarily on the lowest price".

The organisation said: "For more than a decade, EU public procurement has operated largely under the framework established by the 2014 directives.

"While these rules have helped establish common procedures and promote competition across the single market, the context in which they were designed has fundamentally changed.

"Europe’s new geopolitical and economic reality required a clear change of doctrine."

Copa Cogeca said that Europe is confronted with geopolitical instability, disrupted supply chains, growing strategic dependencies and intense global competition.

"At the same time, the EU is rightly seeking to strengthen its competitiveness and strategic autonomy," it said.

"Public procurement, which represents a significant share of economic activity, can no longer be viewed solely as an administrative process aimed at securing the lowest-cost goods and services.

"This is particularly true for food."

Public authorities purchase significant quantities of food and catering services for schools, hospitals, care homes, public institutions and other facilities.

They therefore have an important role to play in maintaining a resilient European food production base, Copa Cogeca said.

'Growing disconnect'

"At a time when our farms and cooperatives are being asked to lead by example at every level, the growing disconnect with outdated public procurement rules has become increasingly difficult to justify," the organisation added.

"This is why Copa Cogeca support the commission’s proposal, and particularly the specific provisions on food procurement.

"The explicit recognition of the need for fair remuneration for farmers is particularly important.

"Copa Cogeca also welcomes the stronger recognition of quality schemes, geographical indications and organic production, alongside animal welfare requirements.

"These provisions can help ensure that public procurement better supports local European agricultural and food products, while delivering greater value for public authorities and citizens."

Copa Cogeca said there are elements of the proposal that still require further clarification.

However, it hopes that the European Parliament and the Council will "seize the opportunity to strengthen and further refine this important text for the agricultural sector".

"In doing so, they must preserve the flexibility and transparency that public authorities need to make coherent and effective agri-food procurement decisions," the organisation added.

Organics

IFOAM Organics Europe has welcomed the explicit mention in the Public Procurement Act of food procurement, and in particular of the role of organic products in contributing to the EU’s environmental and social objectives. 

By recommending that public food procurement address key priorities such as fairness and transparency in food supply chains and requirements on organic production, the European Commission "recognises the potential of public procurement to support the transition towards more sustainable food systems across the EU", IFOAM said.

The representative body for the EU’s organic farming sector added that such an approach "can also contribute to a more competitive and resilient European food system".

Commission proposal

The commission said the overall proposal is expected to deliver significant administrative annual savings of €650 million, resulting from a burden reduction of €80 million for public buyers and of €570 million for economic operators.

The proposed public procurement regulation "builds on the strengths of the single market in four key ways", it said.

These are: simpler and clearer rules; one single platform for all procurement in the EU; stronger support for environmental, social, and innovation goals; and greater security, resilience and strategic autonomy.

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