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Retailer price wars catastrophic 28 Jan 2010
Copa-Cogeca warned that EU producers are increasingly becoming the victims of retailers
price wars and urged EU politicians to take action.
Copa-Cogeca Secretary-General Pekka Pesonen stressed, “This is an unacceptable situation. The downward pressure on retail prices squeezes the entire food chain. The drop in farmgate prices, which is not matched by a fall in production costs, puts an unbearable pressure on producers incomes which plummeted by 12.2% on average last year,” Pesonen said.
Copa-Cogeca, which represents EU producers, consequently urged the EU Commission, Euro-MPs and EU Ministers to rapidly take action. The move came as Euro-MPs agriculture committee debated the issue in Brussels. The EU Commission is set to propose later this year concrete legislative proposals designed to improve the functioning of the food supply chain. Copa-Cogeca calls on them to propose measures which rebalance the power in the food chain and contribute to its better operation.
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