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Making the EU unfair trading practices directive work in global value chains

Author

Listed:
  • Tröster, Bernhard
  • Papatheophilou, Simela
  • Blöschl, Robert
  • Weber, Christina
  • Schafhausen, Carola
  • Herzig, Christian

Abstract

Power imbalances in EU agri-food value chains have led legislators to prohibit Unfair Trading Practices (UTPs). The EU adopted the UTP Directive in 2019 which formally extends to global value chains (GVCs) such as cocoa and banana. Yet, our research finds it has had little practical effects as no UTP cases involving non-EU operators have been brought to date. Key barriers include structural features of trade in GVCs, divergent provisions and enforcement across Member States, low awareness and fear of retaliation among suppliers, as well as the limited uptake of price-related provisions within the European UTP framework. This policy note outlines policy recommendations to strengthen the framework's effectiveness across GVCs, including expanding its scope, improving outreach, strengthening access to enforcement institutions, and integrating the international dimension into debates on price-related provisions.

Suggested Citation

  • Tröster, Bernhard & Papatheophilou, Simela & Blöschl, Robert & Weber, Christina & Schafhausen, Carola & Herzig, Christian, 2026. "Making the EU unfair trading practices directive work in global value chains," Policy Notes 46/2026, Austrian Foundation for Development Research (ÖFSE).
    • Handle: RePEc:zbw:oefsep:342547
    DOI: 10.60637/2026-pn46
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