The government is failing to protect the food chain from the power of big business, according to the National Beef Association.
The beef industry body said it is "disappointed" that the government has decided not to extend the remit of the Grocery Code Adjudicator (GCA).
The government is instead "maintaining the status quo" and "protecting large retailers" rather than backing the primary producer, the National Beef Association (NBA) said.
Chris Mallon, CEO of the NBA, said that understandably, large retailers opposed the move to protect primary producers as their business model depends on "controlling the market".
"However, the rest of the farming industry which represent farmers and small food businesses, had welcomed the opportunity to extend the GCA, a move which would have ensured transparency and given confidence to those producing food for British consumers," Mr Mallon said.
"It was a chance to put UK farmers ahead of the EU, yet EU farmers are now better protected than their British counterparts."
The NBA said the Government has "missed an opportunity" to give the agricultural industry a "much-needed confidence boost at a time of great uncertainty".
The current remit of the GCA allows it to regulate the direct supply contracts of the top 10 retailers in the grocery sector in the UK.
But it does not allow the Adjudicator to look at contractual relationships deeper into the supply chain, including those between farmers and processors where unfair trading practices can persist.
In February, Defra stated that there was "not enough evidence" to support extending the remit of the GCA, but some unfair trading practices were identified.
