The European Commission's annual survey on unfair trading practices has highlighted a significant issue among suppliers in Latvia, where many are aware of their rights but hesitate to report unfair practices. This reluctance is primarily driven by fears of repercussions from buyers, which discourages them from utilizing available protections.

The survey, which included 434 respondents from various EU member states, found that a large portion of participants came from the fruit and vegetable sector, with many being small businesses. Notably, 53.9% of respondents reported annual revenues below €2 million, indicating that smaller suppliers are particularly vulnerable to unfair trading practices.

Competition law advisors are urged to focus on educating these suppliers about their rights and the complaint process to combat unfair trading effectively. The survey results show an increase in awareness of the EU Directive 2019/633, with 70.5% of respondents familiar with it, although only 51.6% know where to file complaints. In Latvia, 54.2% of suppliers are aware of the directive, but only 45.8% know about the competition authority where they can submit complaints.

The survey identified common unfair trading practices, particularly in the retail and wholesale sectors, including extended payment terms and unilateral contract changes. A significant number of suppliers reported experiencing these practices, with 76% indicating they faced unfair treatment over the past three years. The findings suggest a need for enhanced educational efforts to inform suppliers about their rights and the enforcement mechanisms available to them.

Moreover, the article emphasizes the importance of addressing the fears and misconceptions that prevent suppliers from seeking help. The Competition Authority encourages reporting of unfair practices, yet no reports have been received this year, highlighting the need for ongoing education about the Unfair Trading Practices Act (NTPAL) and suppliers' rights.