Amending certain production, labelling and certification rules and certain rules on trade with third countries

PURPOSE: to ensure fair competition and the proper functioning of the internal market in organic products, as well as ensuring consumer confidence in those products and in the organic production logo of the European Union.

PROPOSED ACT: Regulation of the European Parliament and of the Council.

ROLE OF THE EUROPEAN PARLIAMENT: the European Parliament decides in accordance with the ordinary legislative procedure and on an equal footing with the Council.

BACKGROUND: organic farming is a key element of the EU’s Common Agricultural Policy with a growing share of land farmed organically and increasing consumer demand. The production and labelling of organic products are governed by Regulation (EU) 2018/848, applicable since January 2022, and the delegated and implementing Regulations which establish the detailed rules that underpin organic production.

The Court of Justice of the European Union concluded that neither terms referring to organic production nor the EU organic production logo may be used by products that comply only with standards merely equivalent to the production rules in Regulation (EU) 2018/848.

It is therefore necessary: (a) to ensure that consumers are able to make informed choices when purchasing products from third countries whose organic production and control systems have been recognised as equivalent to those of the Union, and (b) to ensure consumer confidence in those products and in the organic production logo of the European Union whilst ensuring fair competition within the internal market between products that fully comply with Union production and control rules and those that comply with rules equivalent to those Union rules.

Furthermore, given that the recognition of third countries whose organic production and control systems have been recognised as equivalent to those of the Union will expire on 31 December 2026, it is necessary and urgent for those third countries to continue to be recognised until 31 December 2036 to avoid disruptions in the trade of organic products.

Although the current legal framework is sound, targeted adjustments are deemed necessary to certain production rules to create a more efficient, effective, and user-friendly regulatory framework.

CONTENT: the proposal amends certain existing provisions of Regulation (EU) 2018/848 in order to: (i) facilitate organic production, labelling, controls and trade across the EU and in third countries; (ii) also ensure that consumers are able to make informed choices when buying organic products imported from third countries.

The proposal amends specific aspects of a limited number of provisions in Regulation (EU) 2018/848:

(i) it allows operators to use the products and substances available on the market for cleaning and disinfection for use in processing and storage;

(ii) it adapts rules on labelling of organic products imported from third countries. This amendment ensures that consumers are able to make informed choices when purchasing products from third countries whose organic production and control systems have been recognised as equivalent to those of the Union;

(iii) it adapts the conditions for the exemption of smaller operators who sell unpacked organic products other than feed from the obligation of being in possession of a certificate. This amendment facilitates the exemption of smaller operators and therefore facilitates the achievement of the objective of encouraging short distribution channels and local production in the various areas of the Union;

(iv) it adapts and simplifies the requirements for the composition of groups of operators which will facilitate the implementation of the existing provisions and the development of organic farming;

(v) it postpones until 31 December 2036 the expiry of the recognition of equivalent third countries. This amendment avoids any disruption in the trade of organic products and ensures a smooth transition to the scheme of recognition of third countries through international agreements;

(vi) it adapts production rules for livestock by simplifying the current rules and adapt them to the needs of the operators.

Several elements in the proposal contribute to simplification, reducing bureaucracy and administrative burden for organic operators and Member States’ administrations.

The Commission estimates that these elements may entail annual direct administrative cost savings for a total of EUR 47.8 million, of which EUR 45.9 million for businesses and EUR 1.9 million for administrations. In addition, these elements may entail for businesses direct one-off adjustment cost savings of EUR 109.2 million and annual direct adjustment cost savings of EUR 90.2 million.