UTPs are business-to-business practices that deviate from good commercial conduct and are contrary to good faith and fair dealing. The food supply chain is vulnerable to UTPs due to stark imbalances between small and large operators. Often farmers and small operators in the food supply chain do not have sufficient bargaining power to defend against UTPs.

Although many EU member countries already have different national rules on UTPs, in some countries there is no or only ineffective specific protection against UTPs. The Commission proposal will for the first time ensure a standard level of protection across all EU countries.

The aim of the Commission proposals is to improve the role of farmers in the wider food supply chain by banning some of the most common UTPs that they face.