In Spain, the Food Chain Law was designed to rebalance commercial relationships in the agri-food sector. However, its main battlegrounds continue to be compliance with payment deadlines and the correct formalization of contracts, especially regarding price. An analysis of sanctions from Spain’s Food Information and Control Agency (AICA) during the first three quarters of 2025 shows these infringements persist across the value chain (see here).
Effects and Risks of Non-Compliance in Spain
The constant stream of sanctions published by AICA highlights the risks for companies in Spain that have not adapted their processes to the Food Chain Law. The main infringements sanctioned in 2025 are:
- Breach of payment deadlines: This is the most recurrent cause for sanctions in Spain. Fines have reached significant amounts, in some cases exceeding €79,000, demonstrating the seriousness with which this is pursued.
- Failure to include the price in the contract: The Food Chain Law requires the price to be, at a minimum, higher than the production cost, and its omission is severely sanctioned. Fines for this are frequent, ranging from €1,800.60 to €33,000.60.
- Failure to formalize contracts in writing: The absence of written contracts continues to be a reason for penalties. Some fines have exceeded €138,000 in the most serious cases.
- Unilateral price modifications and obstruction of inspections: Other relevant causes are modifying prices not expressly agreed upon and resisting AICA’s actions, both punished with considerable fines.
To mitigate these risks in Spain, a thorough review of contract models with transparent pricing mechanics and payment circuits is essential. Contracts must be formalized in writing before the service begins and keeping record of acceptance is important. Automating and monitoring payment due dates are also key to avoiding delays that could lead to sanctions.
Conclusion
In the Spanish case, AICA’s inspection activity is relentless, and the publication of sanctions reinforces the need for rigorous compliance. Ignoring the law is a major economic and reputational risk. Companies operating in Spain should carry pout targeted training for buying teams as well as conduct internal audits of their contracts and payment processes in order to identify blind spots and adapt operations to avoid or reduce the risk of future sanctions.
Article by Callol, Coca & Associates (Spain)
