The European Parliament has approved a new regulation that strengthens the fight against unfair trading practices in the agri-food supply chain when supplier-buyer relationships involve multiple countries. Specifically, we look at which behaviours are being addressed (from late payments to unilateral contract changes, through to promotions costs imposed without agreement) and what changes thanks to more coordinated investigations and checks among national authorities.

A topic that directly affects producers and processors, but also buyers, distributors, importers and non-EU operators working with European counterparties: understanding the new rules means managing contracts better, reducing risks and safeguarding the supply chain.

A new EU building block against unfair practices

The European Parliament approved in plenary on 12 February 2026 a new regulation that strengthens cooperation between national authorities when a suspected unfair trading practice involves operators in different countries.

The measure does not rewrite the list of prohibited practices, already set out in Directive (EU) 2019/633, but aims to make it work better in cross-border cases, where checks are currently more complex and fragmented.

What is meant by "unfair practices" in the agri-food supply chain

Unfair practices, within the scope of Directive 2019/633, are behaviours by companies and professional operators that depart from good commercial practice and that, by exploiting a strong imbalance of bargaining power, shift risks and costs unfairly onto the weaker party.

EU legislation was introduced precisely to protect those selling food products to larger, more structured buyers, such as large retailers, industrial groups, or intermediaries with greater negotiating power.

The Directive covers any supplier of agricultural and food products with turnover up to 350 million euros, with gradual levels of protection for those below this threshold. The scope also includes consortia and producer and distributor organisations below the threshold. In addition, the rules may also apply to suppliers and buyers outside the EU, provided that at least one of the parties is established in the European Union.

Levels of protection for suppliers

The turnover brackets are set directly in the legislation - Art. 1(2) of Directive (EU) 2019/633 - and determine when protection applies based on the size of the supplier and that of the buyer (protection applies when the buyer is in a higher bracket).

In short, the Directive applies to:

• suppliers up to 2 million € selling to buyers over 2 million €
• suppliers 2-10 million € selling to buyers over 10 million €
• suppliers 10-50 million € selling to buyers over 50 million €
• suppliers 50-150 million € selling to buyers over 150 million €
• suppliers 150-350 million € selling to buyers over 350 million €

There is also a specific rule where the buyer is a public authority, under which the Directive still applies to sales made by suppliers with turnover up to 350 million €.

The prohibited practices most relevant to the food industry

The Directive prohibits 16 practices, distinguishing between practices that are always prohibited and practices allowed only if agreed in advance in a clear and unambiguous way. This structure matters for food companies, because many items that were previously handled as standard practice now require transparent, verifiable contractual terms.

Practices that are always prohibited include, among others:

• late payments beyond 30 days for perishable products and beyond 60 days for other products;
• cancellations with too short notice for perishables;
• unilateral changes to the contract;
• requests for payments not linked to a specific transaction;
• shifting to the supplier the risk of losses and deterioration;
• refusing to confirm a supply agreement in writing when the supplier requests it;
• misuse of trade secrets;
• commercial retaliation and charging the supplier the costs of handling customer complaints.

"Grey" practices, on the other hand, are allowed only if agreed beforehand and explicitly. They include, for example:

• the return of unsold products;
• payment of fees for listing or for shelf placement;
• contributions for promotion, marketing and advertising and costs for the buyer's staff or for fitting out premises.

What changes with the new regulation?

The new regulation is designed to deal more effectively with cases where the supplier and buyer are located in different Member States, or where the unfair practice has effects in multiple countries. In these scenarios, until now, enforcement of the Directive could slow down due to procedural differences, misaligned response times and difficulties in sharing information between authorities.

The regulation's logic is to provide authorities with a common "toolkit" for cooperation, with a mutual assistance mechanism, rules on costs and confidentiality, and a tool for coordinated actions in larger cases. The EU Council has clarified that the reform does not change the Directive, but aims to streamline enforcement in cross-border cases without introducing unnecessary bureaucracy for the sector.

Mutual assistance, timelines and confidentiality

The regulation introduces a mutual assistance mechanism that enables authorities to exchange information, work together on investigations and coordinate enforcement actions. In practice, if an authority receives a complaint or identifies a risk involving a buyer established in another Member State, it can formally activate its counterpart abroad to obtain useful elements and, where necessary, request investigative measures or intervention.

On timelines, the text provides that the authority receiving a request for information must respond within 90 days. An extension is possible, typically up to 30 days, where there are objective reasons linked to the complexity of the case. This is relevant because it provides a clearer time framework for cooperation between administrations.

Another sensitive point concerns the protection of whistleblowers. The EU Council highlights rules on data protection and confidentiality of information, specifically to reduce the risk of retaliation against suppliers who report misconduct. This is fundamental, because fear of "losing the customer" is one of the factors that can discourage reporting within the supply chain.

Faster information sharing thanks to a shared digital system

Among the operational tools, the regulation allows national authorities to inform each other about unfair practices already identified or about the risk that they may occur, using the Internal Market Information System, a platform already used in the EU to exchange information between public administrations. The stated goal is to support faster, more coordinated responses and, at the same time, increase the deterrent effect.

Coordinated actions in large-scale cases

The regulation is not limited to individual cases. It also provides for a "coordinated action" mechanism when the unfair practice is large in scale and involves at least three EU countries. In these cases, a Member State is designated with a coordinating role, to facilitate a common response and alignment among authorities. This is particularly relevant for operators working with buying groups or distribution networks operating in multiple markets.

Non-EU countries: harder to bypass the rules

A specific section addresses unfair practices by buyers established outside the Union. The EU Council and the European Parliament indicate that the regulation includes cooperation rules for these cases, with the aim of better protecting European producers even when the buyer is non-EU.

In particular, there is a concrete measure designed to prevent avoidance strategies: if an investigation is opened, buyers based outside the EU must designate a contact person responsible for the European Union, who becomes the main point of contact for authorities and must facilitate verification activities.

Operational implications for producers, processors, distributors and importers

For suppliers, including producers and processors, protection can become more effective even when the buyer is abroad. Cooperation between authorities, clearer timelines and digital information-sharing tools can reduce the gaps that sometimes arise in cross-border relationships.

For buyers, wholesalers, importers and distributors, the new framework increases the focus on contract compliance and on the traceability of commercial decisions. In practice, the risk is not only a national challenge, but also the start of coordinated activities or cooperation requests from other Member States. This matters in particular when operating across multiple markets or through corporate and logistics structures spread across countries.

As noted, there are also implications for non-EU operators. In particular, those buying from EU suppliers should factor in a stronger ability for European authorities to respond to potential requests, including the requirement to appoint an EU contact person in the event of investigations. Those selling to EU buyers, on the other hand, should remember that the Directive may also apply to suppliers and buyers established outside the Union when at least one party is in the EU, so the rules on prohibited practices remain a reference point when managing contracts and commercial terms.

What to expect in the coming months

After the European Parliament's approval, the regulation must be approved by the Council. The rules will apply 18 months after publication in the Official Journal of the European Union.

In the meantime, the framework of prohibited practices remains that of Directive 2019/633 and the national implementing rules.

How to prepare without adding process burden

Pending the Council's formal adoption of the regulation and its application, companies can work on a few simple actions with low organisational impact.

• Check contractual terms, including payment timelines and conditions for perishable products
• Ensure contract changes are always traceable and not unilateral (even if based on established practices or previous agreements), by defining internal, shared procedures for changes in price, volumes, deliveries and quality.
• Manage last-minute cancellations for perishables and return conditions carefully (especially when operating across multiple markets and warehouses).
• If promotional or marketing contributions are expected, include them explicitly and in advance in the contract, because these practices are allowed only if clearly agreed.
• For groups that buy or sell cross-border, map where counterparties are established and which national authority may be competent, so that any information requests can be handled within consistent timelines.
• For non-EU buyers working with European suppliers, assess in advance the set-up and responsibilities of the EU contact person, to avoid delays and issues in the event of checks.

In cross-border cases, enforcement therefore aims to become faster, more coordinated and harder to circumvent, with effects that will concern the entire agri-food supply chain, in Europe and in relations with third countries.