Belgium’s Potato Sector Establishes Clear 30-Day Contract-Completion Rule
Belgium’s potato industry has reached agreement with the federal agency FOD Economie, KMO, Middenstand en Energie (FPS Economy) regarding a model contract for potatoes, following a year of market tension and grower frustration over contract-negotiation delays.
According to a Boerenbusiness article, the key achievement is that the parties “have now agreed on the timeframe between the offer of the contract and its conclusion. This must be arranged within a month.”
Under the new arrangement, growers will have fifteen days to respond to a contract offer from a processor; if they fail to reply in time the offer will lapse. After the grower’s response the processor then has another fifteen days to sign the agreement.
In cases where the buyer submits a counter-proposal following amendment by the grower, the grower must respond within seven days. If no reply is received within that timeframe, the submitted offer will be deemed an agreement and becomes binding.
The growers’ representative organisation Boerenbond said: “We are aware that growers will have to be attentive to respond in a timely manner. But it does guarantee clarity for all parties in the short term.”
The agreement follows several months of negotiation after “the conclusion of contracts this spring caused serious problems and tensions in the sector.”
For the Belgian potato growing and processing industry this framework introduces greater legal clarity and a definitive timeline (within one month) for contract conclusion.
