Greater protection for farmers throughout the supply chain: what the European reform entails

On 18 August 2026, EU Regulation 2026/1739 came into force, amending the rules of the Common Agricultural Policy on the common organisation of agricultural markets (CMO). The measure aims to strengthen farmers’ bargaining power, safeguarding their incomes and making the profession more attractive to young people. The reform stems from the pressures facing the sector: the pandemic, trade instability, conflicts, extreme weather events and inflation have increased production costs and reduced purchasing power. Added to this are the investments required for sustainability, which place a particularly heavy burden on smaller farms.

Among the main changes relating to the CMO is the new Article 88a, which regulates, for agricultural products placed on the market, the use of the optional terms ‘fair’, ‘equitable’ and ‘short supply chain’ in labelling, presentation, advertising material and commercial documents. The first two terms, and their equivalents, may be used to describe existing commercial arrangements that guarantee stability and transparency in relations between farmers and buyers, fair and remunerative prices, and collective initiatives aimed at pursuing the United Nations’ sustainable development goals. The use of ‘short supply chain’, on the other hand, requires there to be a direct link between the farmer and the end consumer, including via an intermediary, or a limited number of intermediaries, and geographical proximity between the parties involved (see recital 5); consumers must, in any case, be able to identify the farms where the raw materials were produced.

As regards contractual relationships, the extension of the requirement for contracts to be in writing across the various agricultural sectors is of particular significance. The new Article 168 stipulates that the contract must be concluded prior to delivery and sets out its minimum content, including, amongst other things, the price, quantity and quality of the products, and the duration of the contract. For contracts with a minimum duration of more than twelve months, a review clause is required which may be invoked by farmers or their organisations; in the milk and dairy products sector, specifically governed by Article 148, the threshold is reduced to six months. The parties concerned and the circumstances under which exceptions may apply are also set out, whilst for sugar beet, the purchase conditions contained in Annex X of the CMO Regulation are amended.

A further provision concerns the designation of meat and meat products. The Regulation first defines meat as the edible parts of an animal and meat products as those derived from it, without any substitution of the meat components. The new Part I bis of Annex VII reserves the term ‘meat’ and terms such as ‘beef’, ‘veal’, ‘pork’ and ‘chop’ to meat products and agricultural products where, in their names, these terms, combined with other terms, identify the animal species from which they originate. The reserved terms may not be used to designate foods consisting of, isolated from, or produced from cell or tissue cultures.

However, the reform’s entry into force does not coincide with the implementation of all the new provisions. The provisions on optional labelling and written contracts will apply from 19 August 2028; those on the labelling of meat will apply from 19 August 2029.