In recent weeks, the food chain has once again become the focus of news in Spain and Europe due to the debates that have arisen around the reform of the Common Market Organization (CMO) The price situation now directly affects producers, industry and consumers. Agricultural institutions and organizations seek a balance that guarantees fair prices for the weakest links and promotes a more transparent system that is protected against speculation..
El Food Chain ObservatoryThe Food and Agriculture Organization of the United Nations (FAO), the state body responsible for analyzing and proposing improvements to the functioning of the entire agri-food system, recently held its second annual session. At this meeting, data on food consumption and price trends were discussed, as well as the potential effects of the regulatory reform being discussed in Brussels.
European reform and contracts in the agri-food chain
One of the main issues being debated at the Community level is the modification of the regulatory framework for the procurement of agricultural products. This reform, partly inspired by the Spanish legislation on the food chain, seeks to strengthen the role of farmers and ranchers vis-Ã -vis industry and distribution. The objective is to prevent abuses in contract negotiations, guarantee the existence of written contracts and limit practices such as reselling at a loss.
From the Ministry of Agriculture, Fisheries and Food, it is considered that the new regulation would represent a significant improvement in providing greater protection to the primary link and contributing to greater stability in price formation throughout the chain. However, organizations such as Union of Unions and other agricultural entities have expressed their reservations about the lack of more forceful measures to supervise and sanction speculation or possible abuses by the processing industry and large distribution chains.
These organizations criticize that many of the current proposals not only do not solve the previous imbalances, but There is a risk of losing some progress made in previous years, especially if some obligations, such as formalizing written contracts, are eliminated.
Prices, consumption and the impact on households
The analysis of consumption and price trends has revealed several relevant aspects. On the one hand, Household spending on food increased by 3,8% during the first months of 2025, although the volume acquired remained practically stable. Consumers have chosen to optimize their budget, making purchases more frequently but in smaller quantities.A loss of importance of hypermarkets is also observed compared to the consolidation of supermarkets as the preferred channel.
As for prices, the reports submitted indicate that The average increase is around 4% by 2025, with some products such as cheese and fresh fruit becoming more expensive than that average. Other factors, such as the impact of VAT, rising production costs, and certain weather conditions, also influence price formation for consumers and producers.
Importantly Commodities show diverse behaviors: while the Liquid milk has seen its prices reduced, the olive oil has experienced significant declines after a period of increases, and fresh fruit prices have risen due to external factors. Despite the slight inflationary respite, INE data show annual inflation at 2%, two-tenths of a percentage point lower than the previous month, and core inflation at 2,2%, indicating some containment but still not complete stability.
Structural challenges and complaints from farmers
The vulnerable position of the producer is one of the sector's major concerns. Union of Unions and other agricultural associations They insist that the current framework still does not offer effective protection against speculation and contractual abuses. They demand that the reforms be Ambitious and include clear obligations of transparency in price formation, binding written contracts, recognition of dominant situations in the chain and effective sanctions for abusive practices.
Discontent has reached its peak in communities such as Castilla y León, where professional agricultural organizations have denounced the role of the markets as price referenceaccusing them of ignoring market reality and facilitating speculative maneuvers that harm both farmers and ranchers. They claim that the prices set by the markets are often below production costs, violating the law and jeopardizing the viability of farms.
The organizations demand that the administrations comply with and effectively enforce the Food Chain Act, especially regarding preventing loss-making sales and ensuring a fair distribution of margins. They also call for greater transparency, direct support for certain inputs, and control of imports, particularly those from third countries at very low prices.
Reforming the European food supply chain is essential for the future of the sector. Promoting a balance between producer protection, price transparency, and stability throughout the chain is key to ensuring the sustainability and continuity of the food system. Only through a coordinated effort between administrations, the private sector, and agricultural organizations will it be possible to move toward a fairer, more transparent, and resilient model that is prepared to face crises and market uncertainties.