The committee voted on a report written by MEP and vice-president of the European Parliament, Mairead McGuinness. There was strong support for the report with 39 votes in favour, and two abstentions. It will now go forward to the internal market committee.

McGuinness’s report highlights the effect of unfair trading practices (UTPs) on farm incomes and on the sustainability of the food supply chain.

“I have been working on this issue for a number of years and I’m heartened that, across the political groups in the committee, there is a clear understanding of the damage caused by unfair trading practices and a clear demand for Commission action,” McGuinness said.

“We now must ensure that the Commission takes our report on board in its upcoming assessment of the voluntary Supply Chain Initiative (SCI), which, while welcome, is insufficient,” the MEP added.

The SCI is a voluntary endeavour which, in McGuinness’s opinion, is “inadequate” in eliminating the fear factor from the supply chain. She said: “ Voluntary regulations have major drawbacks, including a lack of genuine penalties for non-compliance. And this position is part of today’s approved text.”

Thursday’s vote also called for further actions to boost farmers’ bargaining power and demanded better coordination at EU level of member states’ efforts to tackle UTPs.

European farmers representative body COPA and COGECA welcomed the vote, saying it shows that members of the agriculture committee clearly recognise the need for legislation to effectively curb UTPs and ensure a fair and more balanced food supply chain.

Its secretary general Pekka Pesonen reiterated McGuinness’s view that voluntary initiatives on their own are not sufficient to curb UTPs as “they do not address anonymous complaints, nor do they have a deterrent sanctions mechanism. It is necessary to change the business culture whereby continuous and recurrent unfair and unethical behaviour leads to economic gains and benefits,” Pesonen said.