Governance
Governance principles
Representative: Red Tractor is the most representative UK assurance scheme. Each agricultural sector has its own board and at least one Technical Advisory Committee – the compositions of which are made up from a wide selection of that sector’s supply chain.
Balanced: Achieving balance is a crucial aspect of standard setting at Red Tractor. This is why each sector board includes representation of farmers & growers, processors and retailers.
Democratic: Every representative is treated equally at every level of Red Tractor’s governance – The Board, Sector Boards and TACs. The views of all stakeholders are encouraged and considered, and decisions are made via consensus or majority.
Who decides at Red Tractor?
Each layer of Red Tractor’s governance serves a purpose.
THE OWNERSHIP BODY
NFU, NFU Scotland, Ulster Farmers Union, AHDB, Dairy UK, British Retail Consortium. Food & Drink Federation (observers)
Provides the ‘limited by guarantee’ (£1) to Red Tractor – Appoints Directors and Chair – Amends the Articles when necessary
Delegates all responsibility for the management of Red Tractor to the Directors who may exercise all the powers of the Company
THE BOARD OF DIRECTORS (THE BOARD)
Brings insights and experience across the supply chain to inform and develop the organisation’s Vision, Purpose, Business Plan, Strategies and Objectives
Standards Development and Scheme Operation
STANDARDS COMMITTEE
Review overall technical strategy & delivery, particularly for cross sector issues
6 SECTOR BOARDS
Determines technical strategy by sector
8 TECHNICAL ADVISORY COMMITTEES (TACs)
Determines technical standards by scope
Delegates Corporate Governance
AUDIT & FINANCE
Review overall technical strategy & delivery, particularly for cross sector issues
RENUMERATION
Determines Director & CEO renumeration
NOMINATIONS
Recruits Directors
Implementation of the plan
PERMANENT STAFF
Led by the CEO, implements the Vision, Purpose, Business Plan, Strategies, Objectives and manages and delivers day-to-day operations
How we are funded
Red Tractor is a small not-for-profit company whose funding comes from two principal sources:
- Food businesses, who pay to use Red Tractor, either as a claim or for use of the logo, or both. Such claims could appear on a product or in any of their marketing materials.
- Farmers, who pay to be members of the Red Tractor scheme.
Delivering a cost-effective scheme that ensures your food and drink is produced safely and responsibly is a key objective for Red Tractor.