The EU Directive on unfair trading practices in the agricultural and food supply chain targets the protection of farmers, farmers organisations and other weaker suppliers of agricultural and food products against stronger buyers, prohibiting 16 unfair trading practices. Other key principles of this Directive are the enforcement of the unfair trading practices by authorities in each Member State and coordination among the authorities, as well as minimum harmonisation allowing for Member States to provide for stricter rules than the Directive and go beyond its scope.
Unfair Trading Practices
Depending on the proportional scale of operators, the Directive provides protection along the agrifood supply chain. It takes a “step approach” as a proxy based on turnover figures reflecting the differences in negotiating strength between buyers and sellers. The step approach ensures that a supplier is not subjected to unfair trading practices techniques potentially used by a financially stronger buyer.
Size of enterprise by turnover
The scope of Subsidiary Legislation 117.42 Unfair Trading Practices in the Food Supply Chain Regulations is to transpose and implement Directive (EU) 2019/633 of the European Parliament and of the Council of 17 April 2019 on unfair trading practices in business-to-business relationships in the agricultural and food supply chain. These regulations are applicable to certain unfair trading practices which occur in relation to the sale of agricultural and food products, including services related to suppliers/buyers based in Malta.
Ten Black Unfair Trading Practices
The appointed Unfair Trading Practices (Agriculture and Fisheries) Board has the role of the enforcement authority. Its members represent the agriculture, fisheries and aquaculture departments​ (sectoral authorities), the commerce department and have expertise in the market and trading practices field relating to agriculture and fisheries. Presiding over the Board proceedings is an advocate with professional experience and a registrar assisting the Board with the responsibility of all relevant documentation and communications.
Six Grey Unfair Trading Practices
Suppliers and/or buyers may submit via the sectoral authority or directly to the Unfair Trading Practices (Agriculture and Fisheries) Board any alleged unfair trading practices complaints in writing. A reply, updates and investigation outcome shall be communicated by the Board at the latest within twenty working days. Submission of complaints according to Subsidiary Legislation 117.42 Unfair Trading Practices in the Food Supply Chain Regulations shall be subject to a fee of fifty euro (€50) payable to the Board. The Board can be contacted on email utpboard.mafa@gov.mt​.

                  ISAMM Report 2021                                                                                                                                                       ISAMM Report 2022