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Regulatory framework for cooperation in supply chains


General trade and contract law is systematically adapted to the special aspects of the food value chain (payment terms, quality standards, jurisdiction, etc.) in order to provide a reliable negotiation framework/ transparent terms of business for farmers and their market partners.

Trade and contract law can be enforced by providing standardised purchase and supply contracts that are based on the relevant laws and regulations.

Agricultural, trade and food laws are dealt with by separate legal institutes or faculties. Farmer organisations can help their members by providing legal advice.


  • A properly functioning country-wide administration and monitoring system with access to the relevant information and sufficient technical and human capacities for its design, implementation and monitoring
  • Clear and coherent political strategy and targets for policy-makers and public authorities
  • Clear responsibilities in public authorities
  • Close cooperation and knowledge sharing with farmers' organisations
  • Jurisdiction or arbitration body with locally recognised authorities
  • Participation of all stakeholders involved, e. g. science / research, agricultural advisory services, civil society, public and private sector (incl. farmers and their interest groups)
  • Sanction mechanisms
  • Regulated and legally protected payment structures
  • Skilled / specialised personnel to man the respective institutions / provide the respective services

Possible Negative Effects

  • Actors overstretched with too many legal and bureaucratic requirements
  • Discriminates against smaller-scale farmers and processors who have no access to proper legal advice
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This page was last edited on 7 May 2023 | 7:22 (CEST)
  • Instruments
  • Policy Objectives