A shared responsibility for a resilient food chain
Price transmission in the agri-food chain reflects the complex interplay between farmers, suppliers, retailers, and consumers. Only through collaboration across the entire supply chain can we ensure a competitive, resilient and sustainable food system.
Retailers are the most visible link in the agri-food chain and mostly sell processed goods to consumers. We aim to explain retailers and wholesalers’ role and contribution in the agri-food chain and who farmers sell to (agriculture businesses, food processing and export). Retailers and wholesalers provide 450 million consumers in Europe with a wide range of affordable, high-quality food, sourced from both large suppliers and SMEs. While our direct dealings with farmers are limited, we actively support sustainable production and responsible consumption.
Price is the top factor in purchasing decisions. Interference in price formation will not achieve its aim. The focus, rather, needs to be on competition, legal certainty, and removing (not creating) barriers in the Single Market.
Farmers need practical solutions, better market access, reduced red tape, and improved tools for innovation and finance. Retailers, in turn, need clear, workable rules and the freedom to negotiate. Over-regulation, such as limiting alliances or expanding the UTP Directive without evidence of need, risks harming—not helping—the food chain.
If one part of the food system falters, all are affected. Retailers and wholesalers are committed to a forward-looking, collaborative approach—one that fosters ecological and economic sustainability.
Together, through transparency and innovation, we can build a food system ready for the challenges ahead.