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Public Sector bosses across Scotland have been encouraged to look closely at their food and drink buying policies in a new guide which seeks to 'scotch the myths' about European procurement rules.

Rural Affairs Secretary Richard Lochhead today told around 150 leaders in public sector food procurement that, contrary to many views, EU rules actually support a sustainable approach to the buying of food and drink by councils, hospitals, colleges and prisons.

Public Sector food and drink contracts in Scotland are already worth at least £130 million a year and Mr Lochhead told a conference in Glasgow that the 'Catering for Change' guidance set out in clear terms that the public sector can:

• Take account of sustainability factors in their contract decision making
• Specify that they want to be provided with fresh, in season produce, for example, and can even, in some circumstances, ask for Scotch beef, lamb or smoked salmon
• Structure contracts in a way that allows small and medium-sized enterprises (SMEs) to compete

His message to delegates was not only can they do this but that they should, in order to bring economic, environmental and social benefits, help raise food quality standards and bring new opportunities to Scotland's smaller producers.

Mr Lochhead said:

"Consumer awareness of fresh, local, seasonal and sustainable food is at an all time high in Scotland. Retail sales of Scottish brands across Scotland, England and Wales have increased by a staggering 30 per cent between May 2007 and May 2010.

"I very much believe that we should all be taking account of these consumer expectations. When the public sector spends Scottish taxpayers money, it goes without saying that it should be done in a way which makes most sense for Scotland.

"But when it comes to food buying that's not always the case and the reason that people cite is the need to comply with EU competition and procurement laws.

"Yes, we do need to comply with EU rules, but today's guide scotches a number of myths and makes clear that EU rules are flexible enough to support a sustainable approach to food and drink buying. My message to Scotland's public sector is that they should be taking full advantage of this flexibility.

"The 'Catering for Change' guidance shows that public sector organisations can take account of sustainability; can specify fresh, in-season produce; and can structure contracts to increase interest from SMEs.

"In fact not only can public bodies look to sustainability, I believe if possible this should be done at every opportunity. Scotland has a wealth of first-class food and drinks and I challenge public bodies to grasp this opportunity. By purchasing more sustainably, we can help to support our globally renowned food and drink industry, reduce carbon emissions, and help people in Scotland live healthier lives."

Also speaking at the conference is John McClelland CBE, architect of public procurement reform in Scotland. Mr McClelland said:

"Public bodies determine their own procurement policy within the overall achievement of value for money. Within the Catering for Change Guidance and National Food and Drink policy, there is great opportunity for public bodies and Scottish businesses to achieve mutual 'win wins' by ensuring that appropriate weight is given to social, economic and environmental considerations in public sector procurement, their tenders and in how contracts are evaluated."

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