The European Commission through DG Enterprise and Industry has launched a public tender to study the structure of retail and production along the food supply chain in the EU; the impact of private labels (retailers' own brand products) on the competitiveness of the SMEs.

The public tender was published in the Supplement to the Official Journal of the last edition of the June 27.

The Commission would like to obtain an in-depth competitiveness analysis on the impact of private labels on the competitiveness of SMEs within the EU agro-food industry. Private label products encompass all products made by third parties upstream in the food supply chain and sold under retailers' brand. The introduction of private label products by retailers is a growing trend in the retail sector. While they widen the range of available products and thus represent an additional source of competition, they may lead to foreclosure effects as suppliers of branded products become direct competitors to the retailers. Similarly, while private label products provide opportunities for their producers to have access to a large customer base, they may also reinforce their dependency towards a particular retailer.

Nonetheless the effect of private label products on buyer power and on innovation in the agro-food industry will continue to deserve attention.

Special attention should be given to the following topics:

1. The eventual competition alteration in case that listing fees management are not applied or are applied in different ways for private labels and industrial brand products.
2. The impact of private labels on the drop in value and marginalisation of the brands of producing companies.
3. The relationship between producers and distribution, particularly focussing on the effect on competitiveness of the lack of a clear and visible indication of the producer on the packaging of private labels foodstuffs.

Interested institutions must submit their proposals and bids before September 4, 2009 at the following address:

European Commission
Enterprise and Industry DG, Directorate F, Consumer Goods
avenue d'Auderghem 45, Office BREY 10/232
B 1049 Brussels
Tel. +32 22990031
faxFax +32 22998010
E-mail: ENTR-CFT-09-31-STRUCT-FS@ec.europa.eu