discount for lack of voting rights

absence without leave | AWOL [Abbr.]

marketability discount [ discount for illiquidity | discount for lack of marketability ]

incidental absence

nonarticulation | non-articulation

discount for lack of control [ DLOC | discount for non-control ]

absence of harmful substances

Acknowledges the setting up and development of the SCI, which plays an important role in promoting cultural change and improving business ethics, and which has resulted in the adoption of a set of principles of good practice for vertical relationships in the food supply chain and a voluntary framework for the implementation of those principles which only in the second year of its operation already numbers over one thousand participating companies from across the entire EU, and those mainly SMEs; welcomes the progress made so far, and believes that efforts to promote fair trading practices in the food supply chain should make a real impact but cannot currently be considered sufficient to tackle the problem of UTPs in the food supply chain; ...[+++] stresses, however, that the effectiveness of the SCI, as recognised by both the recent Commission report and external evaluation, is undermined by a broad range of shortcomings, such as weaknesses in governance, limitations in transparency, no enforcement measures or penalties, a lack of effective deterrents against UTPs, and not allowing for individual anonymous complaints by potential victims of UTPs or own-initiative investigations by an independent body, which consequently leads to under-representation of SMEs and farmers, in particular, who may find the SCI inadequate for its purpose; recommends the setting up of similar supply chain initiatives in other relevant non-food sectors.

Regrets, however, that some of the dispute resolution options promoted by the SCI have not yet been used in practice, meaning that the assessment of their effectiveness is based on theoretical judgments; is concerned that no concrete case has been examined to assess the SCI’s role in tackling UTPs, and that a more detailed analysis has not been carried out as regards the collection of data relating to complaints received and resolved; believes that the failure to carry out such an in-depth assessment undermines the overall judgment of the initiative; is disappointed by the statement, as recognised by the aforementioned Areté study eva ...[+++]luating the effectiveness of the SCI, that ‘the actual achievements of the SCI may seem very modest if measured against the actual or perceived magnitude and seriousness of the issue of UTPs’.

Questions the unwavering support expressed in the Commission’s report for the SCI, given its limitations; reiterates farmers’ reluctance to participate on account of the lack of trust, the restrictions on anonymous complaints, the lack of statutory power, the inability to apply meaningful sanctions, the absence of adequate mechanisms to combat well-documented UTPs, and concerns about imbalances in the nature of enforcement mechanisms that have not been taken adequately into account; regrets the Commission’s reluctance to ensure anonymity and appropriate sanctions.

whereas the Supply Chain Initiative (SCI) has major limitations — e.g. there are no penalties for non-compliance and there is no option of lodging confidential complaints — meaning that it cannot be used as an effective tool to combat UTPs.