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17/10/2022
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The Chamber of Deputies approved an amendment to the Act on Significant Market Power and Unfair Commercial Practices in the Sale of Agricultural and Food Products

The amendment is intended to transpose EU Directive 2019/633 on unfair commercial practices between undertakings in the agricultural and food chain. A major innovation that will impact the entire agri-food sector is the extension of the concept of significant market power to the entire supply and procurement chain.  

Any customer in the chain will now have "significant market power" if its turnover exceeds EUR 2 million while also exceeding its supplier's turnover. Buyers with significant market power may not unilaterally apply certain practices that are defined by law as unfair (contrary to good faith and fair dealing). The law also requires that all contracts be in writing and that invoices be due within 30 days.

 

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