Minister for Agriculture, Food and the Marine Charlie McConalogue today (Wednesday, April 28) signed a Statutory Instrument which gives effect in Irish law to the EU Directive on Unfair Trading Practices.
The Unfair Trading Practices (UTP) Directive pertains to business-to-business relationships in the agriculture sector and food supply chain.
The regulations will come into effect in Ireland from July 1, this year.
It applies to agreements for the supply of agricultural and food products. This includes certain non-food products.
There are 16 UTPs included in the regulations, 10 of which are prohibited in all circumstances, and six UTPs which are prohibited unless the parties agree clearly and in an unambiguous manner beforehand.
New supply agreements (oral and written) must be in compliance with the requirements of the regulations by July 1.
Contracts (oral and written) that were concluded before today (April 28) must be brought into line within 12 months of that date. The regulations do not apply to agreements between suppliers and consumers.
The minister commented : “One of the key principles of the UTP Directive is to protect farmers, farmers’ organisations and other weaker suppliers of agricultural and food products against stronger buyers.
“These regulations will help to provide that protection and are a significant step in progressing towards a more even playing field for our agricultural producers.”
The signing of the instrument follows the launch of a public consultation earlier this week on the proposed establishment of a new food ombudsman office in line with a commitment in the Programme for Government.
“Pending the outcome of the public consultation concerning the establishment of a new office under primary legislation, these regulations, as an interim measure, provide that the enforcement authority required to enforce the directive will be established in my department,” Minister McConalogue explained.
He added: “The authority will have the necessary statutory powers to investigate complaints, carry out investigations on its own initiative and initiate legal proceedings for breaches of the UTPs prohibited under the directive.”