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Media Release: Survey reports high recognition of Agri-Food Regulator but hesitation remains to report Unfair Trading Practices

 

The Regulator reiterates calls for suppliers to come forward if they feel they may have been subject to an Unfair Trading Practice (UTP), highlighting their recent successful prosecution of a UTP breach

3rd December 2024: A new survey of agri-food suppliers has revealed high recognition of the Agri-Food Regulator with 78% of respondents indicating that they have heard of the statutory body. Established in December 2023, the Regulator is tasked with promoting fairness and transparency across all stages of the supply chain.

According to the survey of primary producers across the sector, 54% of those familiar with the body are aware of its role in protecting producers from unfair trading practices (UTPs). However, just 3 in 10 express confidence that the Regulator can protect them against such practices.

In the survey, conducted online by Coyne Research during October 2024, 33% of primary producers reported that they had been subject to at least one UTP in the past year, with late payment being the leading breach (11%), followed by unilateral contract changes (9%) and incidences of commercial retaliation by buyers (8%).

Of those who had experienced a UTP, just 38% of suppliers had raised the issue with any operator, with just 19% satisfied that raising the issue led to a successful outcome.

Many of those who had claimed incidences of UTPs felt that such breaches were simply ‘common practice’ (61%) while others said they didn’t think there was anything the Regulator could do to help (27%). Others reported fear of retaliation from the buyer (24%), which is, in itself, a prohibited UTP.

However, 50% of respondents have said that now that they are familiar with the Agri-Food Regulator, they would be likely to raise issues with them.

Commenting on the survey findings, CEO of the Agri-Food Regulator, Niamh Lenehan, welcomed the significant recognition of the office, but expressed concern that more primary producers were not coming forward where incidences of UTPs were experienced.

“I am pleased to see that the survey found strong awareness of the Regulator as an organisation – we’ve engaged extensively with stakeholders across all stages of the supply chain over the past year. However, I am disappointed to see that some producers are not coming forward with their concerns. This survey was conducted in October and, since then, we’ve had our first successful prosecution for a breach of a UTP. I hope that this conviction will encourage more producers to contact us in confidence.

The survey results indicate that more work needs to be done by the Regulator to increase awareness and understanding of UTPs amongst producers and we are actively planning next steps in this regard. In particular, we will address some of the issues raised and common misconceptions articulated in the comments of survey respondents, some of which are outlined in the survey findings”.

The full survey findings are available at  Unfair Trading Practices Survey findings (pdf 583Kb) 

 

ENDS

 

For media queries contact:

Deirdre Sheahan, Drury | Deirdre.sheahan@drury.ie | 085 744 2242

Danielle Martin, Drury   | Danielle.martin@drury.ie   | 086 776 1592

 

Notes:

Fieldwork took place via online survey between the 2nd – 20th October 2024.

The Agri-Food Regulator was responsible for promoting the survey link on its website. Assistance was also sought from farming organisations to distribute details of the survey.

246 Primary Producers responded to the online survey. The margin of error on a sample of this size is +/- 8.8% at the 95% Confidence level.

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An Rialálaí Agraibhia (Agri-Food Regulator) is an independent statutory Office established under the Agricultural and Food Supply Chain Act 2023.

The Agri-Food Regulator is concerned with promoting fairness and transparency in the agri-food supply chain. It’s statutory remit and focus is on business-to-business relationships within the supply chain. In exercising this function, the Agri-Food Regulator shall have regard to the circumstances and needs of the agricultural and food sector including, in particular, farming, fishing and small food businesses.

The Agri-Food Regulator is made up of a Board which makes decisions about the Office’s policies and strategic approach to key functions while the Executive Staff implements the agreed policies and workplan.