Amendment 61

Part of Agriculture Bill - Report (2nd Day) – in the House of Lords at 6:45 pm on 17th September 2020.

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Photo of Lord Grantchester Lord Grantchester Opposition Whip (Lords), Shadow Spokesperson (Energy and Climate Change), Shadow Minister (Environment, Food and Rural Affairs), Shadow Spokesperson (Business, Energy and Industrial Strategy) 6:45 pm, 17th September 2020

I thank the noble Lord, Lord Empey, for his amendments, for the significance in which he holds them as necessary for the Bill, and for leading the House in returning to Clause 27 on fair dealing obligations. I am sorry he has not been able to stay tonight to make his case due to personal circumstances, and I hope all continues well. Nevertheless, I thank the noble Baroness, Lady McIntosh, for stepping in and moving his amendment. I concur with much of what she said. The distribution of market returns from food between the primary producer and the rest of the supply chain, especially in regard to the retail sector, certainly appears unbalanced. The proportion returned to the farmer has steadily declined over many years.

That regulation is needed to ensure further provision to introduce a greater measure of fair dealing obligations on the supply chain is recognised in Clause 27. Following the establishment and workings of the Groceries Code Adjudicator, the specific task of monitoring relationships between the UK’s largest supermarkets and their direct suppliers has proved very effective. I would go so far as to say it has proved critical in delivering effective change down the supply chain.

We would not be able to support the noble Lord should he wish to press his amendment. The specific details of each statutory code are being developed in consultation with industry and will be set out in secondary legislation. It will be extended across all sectors of agriculture. This is already in progress.