Commission sets up competitiveness forum for food sector

The agro-food sector is of strategic importance to the EU, representing 2 per cent of GDP and 13.5 per cent of employment in manufacturing. However the playing field has shifted in recent years. Not only did the food price hikes of 2008 put pressure on links in the food chain, but the Commission says income, lifestyle and population changes are having an impact on consumer preferences.

Awareness of food safety, health and price issue has become more acute, and this has transferred into new requirements for the sector.

The high level group was set up in 2008 to provide a ‘roadmap’ of initiatives to boost the European sector. In published a set of 30 recommendations for action, of which seven were identified as priorities:

• Taking a holistic approach to policymaking, right across the food supply chain;
• Ensuring the sufficient supply of raw materials at competitive prices;
• Improving the functioning of the overall food supply chain;
• Driving forward the work of the Sustainable Production and Consumption Round Table;
• A continuing focus on incident management;
• Promoting nutritional information to consumers; and
• Providing specific support for SMEs in the sector

The Commission has also adopted a communication on ‘a better functioning food supply chain in Europe’, which set out 10 policy initiatives to remedy competitiveness issues. These include identifying unfair contractual practices , and communicating with actors about their rights; producing draft contracts for reference; setting up a food price monitoring tool; services for comparing prices between retailers; and increased oversight of agricultural commodity markets.

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Next step​

The forum is considered as the next step in acting on the recommendations. It will represent all food chain operators; it will swing into action this autumn and its work will be complete by the end of 2012.

During this time the forum will produce annual reports to follow up on the recommendations and in implementing the Commission’s policy initiatives.

Vice-President Antonio Tajani, responsible for Industry and Entrepreneurship, said: “The High Level Group will help achieve future growth and competitiveness in the European agro-food industry, to address the impact of globalisation and take advantage of its opportunities. It should lead to a more competitive agro-food sector for the benefit of consumers, farmers and the industry, which should help to promote high quality food for all European citizens.”​

The new forum has also been welcomed by the Confederation of the Food and Drink Industries of the EU, whose president Jesús Serafín Pérez said: “European food and drink manufacturers value the constructive partnership that has been forged through the High Level Group on the Agri-food industry, and look forward to the new Forum taking an active role in implementing the High Level Group Recommendations, whilst maintaining a key focus on the competitiveness of the food and drink industry.”​