In this sense, he assured that the Government will work in the coming months to achieve "a fairer, more balanced food chain, and that forms value in each of its elements." In short, it should be a reflection of what the Spanish agri-food sector has been, which has responded to the needs of citizens during the coronavirus crisis.
As he stressed, the law and its compliance "is not an option, it is a legal obligation." Therefore, the production costs are the basis for the negotiation of written contracts in the agri-food sector "is not subject to condition".
Planas has clarified that, with this legislative reform, the Government seeks to correct the imbalances in the value chain, which since 2013 until now has occurred in an increasingly significant way. With this new norm "transparency in price formation is promoted and the weakest link, that is, our farmers and ranchers, is protected."
In his speech, he explained that the reform of the food chain law is being carried out in two phases. In the first, the Government approved on February 25, at the request of the agrarian professional organizations, a royal decree-law (subsequently validated by the Congress of Deputies), which for the first time introduces that production costs in agriculture and livestock must be lower than the sale price of the products.
In relation to the second phase, he announced that in the next few days the Council of Ministers will carry out the first reading of the draft bill that transposes the community directive on unfair commercial practices in the agri-food sector. The minister has pointed out that the preparation of the draft bill, which will be sent to the Cortes next fall, will have a broad debate with the autonomous communities and with the sector to count on their contributions.