The NFU has submitted its response to Defra’s fairness in the fresh produce supply chain consultation and has advocated for the introduction of a horticulture buyers’ code of practice, which will address behavioural practices to the benefit of the whole supply chain.
The response highlighted six key barriers which currently prevent growers from being competitive and innovative within the industry. These are:
- A lack of long term supply commitments.
- A lack of risk/cost sharing between buyers and growers.
- Limited access to mid-season re-negotiations, which may be required for commercial reasons.
- Unreasonable delay tactics by buyers.
- Unreasonable and unexpected demands to growers throughout the contract term.
- Ambiguity in relation to rejections.
The NFU has recommended that a code of practice should address these six barriers to industry growth, which is enforced by an independent body or person.
A number of recommendations were also made in relation to the GSCOP (Groceries Supply Code of Practice), such as that the GSCOP and GCA roles should be expanded to include large processors and manufacturers in its scope, and to include ornamental crops in its remit.
The NFU has also recommended that the GCA’s seven golden rules are legally incorporated into the GSCOP, and that government works to ensure the current GSCOP legislation is reviewed to ensure its relevancy to the current market.
“Evidence gathered from our grower members shows just how strained relationships in the horticulture supply chain have become,” said NFU Horticulture and Potatoes Board chair Martin Emmett.
He added: “While growers want to remain anonymous for fear of losing contracts, we have heard examples of unreasonable delay tactics to negotiating contracts, making it difficult to plan for the season ahead and unexpected requests mid-contract.
“We want to see our domestic supply chain geared to consistently deliver a sustainable supply of affordable British food for people.
“It is essential for the future of the sector that we address concerns about fairness in the supply chain and build confidence back into the sector.”
NFU members can log in and download the full response submitted to Defra at: Fairness in the fresh produce
supply chain consultation – NFU response
