Joint call to tackle territorial supply constraints in the upcoming One Europe, One Market Roadmap

Ahead of the European Council and adoption of the One Europe, One Market Roadmap, EuroCommerce, representing retail and wholesalers, and BEUC – The European Consumer Organisation representing independent consumer organisations across Europe, jointly call on the EU institutions to commit to the elimination of territorial supply constraints and set a clear timetable for legislative action in the forthcoming Action Plan.

The use of territorial supply constraints by large manufacturers creates artificial price differences between Member States, and risks leaving EU consumers facing higher prices and reduced choice depending on where they live. The Commission investigations into AB InBev and Mondelez, and the Single Market Enforcement Task Force fact-finding exercise, have revealed how some large consumer goods manufacturers are using the Single Market to their benefit, with many having one factory to serve several countries or even the whole of the EU. This can prevent retailers from sourcing products where they are more affordable or more readily available in the Single Market, thereby allowing manufacturers to maintain price differences between Member States to the detriment of consumers. Research from consumer groups has highlighted the consequences of these practices which weaken consumer trust and undermines the EU’s Single Market.

We, therefore, ask the Commission to swiftly put all efforts into a legislative solution to end unjustified territorial supply constraints. EU consumers must benefit from the Single Market by enabling retailers and wholesalers to source in the Single Market, to ensure cost savings and better choice for consumers. We need to ensure that the Single Market works for the whole supply chain and ultimately to the benefit of all consumers, without distinction and without artificial barriers.

Christel Delberghe, EuroCommerce – Director General                                   Agustín Reyna, BEUC – Director General