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News article10 January 2023Representation in Cyprus

Antitrust: Commission invites comments on draft Guidelines for sustainability agreements in agriculture

Launch of a public consultation inviting all interested parties to comment on its draft proposal for Guidelines on how to design sustainability agreements in the field of agriculture

A dried-up field in the region of Rhône-Alpes near Lyon
A dried-up field in the region of Rhône-Alpes near Lyon

The European Commission today launched a public consultation inviting all interested parties to comment on its draft proposal for Guidelines on how to design sustainability agreements in the field of agriculture (‘Guidelines') using the novel exclusion from EU competition rules introduced during the recent reform of the common agricultural policy (‘CAP').

In particular, the draft Guidelines: (i) define the scope of the exclusion; (ii) define the eligible sustainability objectives; (iii) set requirements for sustainability standards; (iv) set the test to identify indispensable restrictions to competition, and (v) define the scope for ex-post intervention.

Following the comments by the interested parties on the draft Guidelines, the Commission will carefully analyse those and implement any necessary changes with a view of having the Guidelines in place by 8 December 2023.

Executive Vice-President Margrethe Vestager, in charge of competition policy, said: Agricultural production is currently facing significant sustainability challenges ranging from animal welfare and biodiversity to natural resources, health and climate change. We want to make sure that operators in the agri-food sector can design joint sustainability initiatives to tackle these challenges while respecting our competition rules. We now invite all interested parties to share their views on our proposal.”

Agriculture Commissioner, Janusz Wojciechowski, said: “The transition to more resilient and sustainable agricultural production requires reinforced co-operation within the actors of the whole supply chain, ensuring that farmers get a fair economic returns for their efforts to enhance sustainability of their production beyond what is currently mandatory. We hope that the farmers together with other actors of the supply chain will make use of this exclusion when designing their sustainability agreements.”

A press release is available online.

Details

Publication date
10 January 2023
Author
Representation in Cyprus