Liberal Democrats in Business

News and views from the Lib Dem Treasury, Trade and Industry Teams and Business Forum

OFT Must Fulfil Obligations To Help Farmers

10.02.35am GMT Wed 17th Mar 2004

Farmers and growers are not being protected from the power of supermarkets by the either Government or the Office of Fair Trading, according to Liberal Democrat Shadow Rural Affairs Minister, Andrew George.

During a Westminster Hall debate today, Mr George will call for the OFT to fulfil its obligations.

"It is quite clear that supermarkets are able to dictate market conditions for farmers, growers and other small suppliers."

"The OFT recently completed a year long inquiry into the operation of the voluntary Code of Practice for supermarkets, but failed to find even one farmer who used this avenue as a means to voice a grievance about their treatment."

"The ineffectiveness of the Code is illustrated in stark terms. 73% of those suppliers approached reported a 'fear' of complaining because of possible blacklisting. They see complaining as a death knell for their business."

"There is no need for further legislation or regulation. All we need is for the OFT to actually do its job."

"There are clearly unfair trading practices and the OFT must give this issue the priority it deserves."

"We simply need a promise to properly inspect the whole food supply chain on a permanent basis. We need a promise protect the anonymity of small suppliers when providing evidence. We need a promise to require all those in the supply chain to provide evidence of their claims to be operating properly and to be able to publish unvarnished reports of their findings."

"Farmers and growers are being held in an arm-lock. They need and deserve better protection than they are currently receiving."

"They are providing a perishable product and can be held to ransom by the supermarkets."

"Farmers need and deserve protection from the powerful supermarkets and I am sure that consumers would feel happier knowing that their purchases are not damaging the interests of British agriculture and, indeed, encouraging fair trade for smaller producers in Britain, just as much as for producers in less developed countries."

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