15 July 2024
- EU pulls the ‘emergency brake’ for certain agricultural goods from Ukraine: A balancing act between supportive trade liberalisation and market protection
- Indonesia’s Ministry of National Development Planning publishes the Roadmap & National Action Plan for Indonesia's Circular Economy 2025-2045
- The EU notifies its revised rules concerning authorised oenological practices to the WTO and opens a public consultation in the EU
- Recently adopted EU legislation
The EU pulls the ‘emergency brake’ for certain agricultural goods from Ukraine: A balancing act between supportive trade liberalisation and market protection
On 2 July 2024, the EU announced the reintroduction of tariff-rate quotas (hereinafter, TRQs) under the EU-Ukraine Deep and Comprehensive Free Trade Area (hereinafter, DCFTA) for eggs and sugar imported from Ukraine into the EU. This comes just weeks after having agreed to prolong their suspension as part of the EU’s Autonomous Trade Measures (hereinafter, ATMs), which have been in place since June 2022 to support Ukraine following Russia’s aggression.
The basis for the reestablishment is the so-called ‘emergency brake’ safeguard provision included in the recentRegulation (EU) 2024/1392 of the European Parliament and of the Council of 14 May 2024 on temporary trade-liberalisation measures supplementing trade concessions applicable to Ukrainian products, also known as the Autonomous Trade Measures Regulation (hereinafter, ATMR). The introduction of a new safeguard mechanism in the ATMR followed pressure from certain EU Member States, whose trade in certain agricultural goods was being affected by the high volume of zero-tariff imports from Ukraine. This article provides an overview of the DCFTA, gives some background on the ATMs, and offers an in-depth analysis of the new safeguard provisions contained in the ATMR.
A shifting trade landscape for Ukraine’s agricultural exports
On 21 March 2014, the EU and Ukraine had signed a broad Association Agreement with a trade pillar. As part of the Association Agreement, the setting up of a DCFTA with Ukraine was foreseen under Chapter IV on ‘Trade and Trade-related Matters’ and the DCFTA provisionally entered into force on 1 January 2016, reducing tariffs and facilitating trade between the two parties. While the DCFTA did indeed remove tariffs on 99.1% of tariff lines for Ukrainian imports into the EU in 2016, various exemptions remained, notably regarding certain agricultural goods. More specifically, Appendix A to Annex I-A on ‘Elimination of customs duties’ contains a list of the TRQs (i.e., a limited amount (quota) can be imported duty-free or reduced duty, while any imports exceeding that amount face the regular tariffs) that apply to imports from Ukraine into the EU, such as for ‘Eggs and albumins’ and for ‘Sugars’. Moreover, Annex I-A indicates several fruits and vegetables subject to an entry-price system, which “establishes a minimum price threshold above which the price of imported produce should remain” (for example for lemons).
This trade framework changed when Russia launched its aggression of Ukraine in 2022. To support Ukraine in these times, the European Commission (hereinafter, Commission) proposed a series of autonomous trade-liberalising measures (ATMs) and facilitated Ukraine’s access to global trade routes through the creation of Solidarity Lanes, which refers to the alternative transport routes established by the EU, Ukraine, and Moldova in 2022 to facilitate the export of Ukrainian goods and the import of essential supplies despite disruptions caused by Russia’s aggression. On 4 June 2022, the EU’s first Autonomous Trade Measures Regulation (ATMR) between the EU and Ukraine came into force. This Regulation liberalised all imports from Ukraine into the EU market, including agricultural goods that had previously been exempt from full liberalisation, such as sugar and eggs. As these are only temporary measures, the ATMR expires on a yearly basis and must be extended for the measures to continue applying, which has been done on 5 June 2023, and on 6 June 2024.
At the same time, the increased influx of Ukrainian agricultural goods led to logistical problems in neighbouring countries, such as Poland and Hungary, leading to much of Ukraine’s exported agricultural produce being sold in local markets in 2023 and stirring farmers’ protests. This prompted national restrictive measures in individual EU Member States that led to the adoption of EU-wide “exceptional and temporary preventive measures” on 2 May 2023 regarding imports of wheat, maize, rapeseed, and sunflower seed from Ukraine. These measures were based on the safeguard clause of the 2022 ATMR, a provision allowing the reintroduction of the Customs duties foreseen by the DCFTA for a particular product if it “is imported on terms which cause, or threaten to cause, serious difficulties to Union producers of like or directly competing products”. The clause introduced in the 2023 revision of the ATMs was renamed ‘expedited safeguard’ and allowed for quicker intervention and adoption of safeguards. In the context of the 2024 renewal of the ATMR, however, EU Member States in the Council of the EU requested the adoption of a “reinforced safeguard mechanism” accompanied by an “emergency brake”.
Balancing trade liberalisation with safeguards for the EU market
The ATMR, as renewed on 6 June 2024, provides in its Article 1 on ‘Trade-liberalisation measures’ for the removal of all remaining duties, the entry prices system and TRQs on Ukrainian goods, as well as the removal of all trade defences and importation requirements established by Regulation (EU) 2015/478 of the European Parliament and of the Council of 11 March 2015 on common rules for imports. This means that Ukrainian goods entering the EU will continue to be duty-free and will not be subject to certain import restrictions for another year. In parallel, Article 4 on ‘Safeguard measures’, besides mandating that the Commission is to monitor the import volumes from Ukraine and their effects on the EU markets, sets up a two-pronged approach to shield EU producers from potential harm caused by the liberalised import of products from Ukraine.
Notably, Article 4(1) of the ATMR establishes that, where a liberalised product “originating in Ukraine is imported under conditions which adversely affect the Union market or the market of one or several Member States for like or directly competing products”, the Commission “may impose any measure which is necessary by means of an implementing act”, following the examination procedure foreseen by EU law. The reference to an individual Member State’s market is a novelty of this iteration of the ATMR. Secondly, Article 4(5) provides for an expedited procedure, providing that “In critical circumstances where delay would cause damage that would be difficult to repair”, and based on a duly substantiated request from an EU Member State, the Commission would be empowered to “provisionally impose any measure which is necessary by means of an implementing act”. This emergency mechanism aims at ensuring that the EU can respond swiftly in unforeseen circumstances.
Most importantly, Article 4(7) of the ATMR provides for a new automatic ‘emergency brake’ that, once triggered, leads to the reintroduction of TRQs on certain agricultural products considered sensitive, namely eggs, poultry, sugar, oats, maize, groats, and honey, imported from Ukraine. For these products, the suspended quotas would be automatically reinstated in case the import volumes were to reach a specific threshold based on the import volumes of the product recorded between 1 July 2021 and 31 December 2023. The threshold corresponds to the arithmetic mean of the recorded volumes if the event takes place in 2024 or five-twelfths of that mean if the event takes place in 2025. After the quotas foreseen in the DCFTA are exhausted, the regular duty applicable under the DCFTA for the product will be charged.
The arithmetic means and, therefore, the thresholds triggering the application of the brake for the recorded volumes of eggs and sugar amounted to 23,188 metric tonnes and 262,652 metric tonnes, respectively. As provided in Article 4(7) of the ATMR, once the thresholds are reached, the Commission has 14 days to reintroduce the TRQs foreseen by the DCFTA until 31 December 2024, which it did for eggs and sugar on 2 July 2024. The Commission announced that, since imports of eggs and sugar from Ukraine have exhausted the volumes set under the Association Agreement’s provisions, “additional imports will continue at most favoured nation (MFN) duty” until the end of 2024. From 1 January to 5 June 2025, a new TRQ will apply, as mandated by Article 4(7), corresponding to five-twelfths of the above-mentioned arithmetic mean. Additionally, the Commission is required to inform the EU’s ‘Committee on Safeguards’ before reintroducing a TRQ.
The DCFTA, in Section 1 on ‘Global safeguard measures’ of Chapter 2 on ‘Trade remedies’, allows the EU and Ukraine to implement temporary import restrictive measures under specific circumstances. It specifies that any safeguard taken under the scope of the DCFTA must align with Article XIX of the General Agreement on Tariffs and Trade (hereinafter, GATT) on ‘Emergency Action on Imports of Particular Products’ and with the World Trade Organization’s (hereinafter, WTO) Agreement on Safeguards. The WTO framework imposes strict procedures and limitations, including investigations and notifications to the WTO Committee on Safeguards. While the ATMR is a separate instrument supplementing the DCFTA and is, therefore, not bound by the DCFTA’s provisions, it generally follows the same approach for safeguards. However, the ATMR’s “emergency brake” clause deviates from WTO and DCFTA logic. This clause triggers automatic import restrictions upon reaching pre-set thresholds, bypassing the usual investigative and notification procedures. This unique feature exemplifies the ATMR’s distinct character from those of the WTO and DCFTA frameworks.
Beyond quotas: the challenge of logistics and transit facilitation for Ukrainian products
The new ATMR and its “emergency brake” have been received with resignation on the Ukrainian side. The Director of the Ukrainian Agribusiness Club Association’s Brussels office, Nazar Bobitski, reportedly declared, shortly after the agreement for the renewal of the ATMR was reached, that this was a choice “between bad and worse” and estimated a loss of export revenues for the Ukrainian economy “between €500 million to almost €1 billion a year”.
The “emergency brake” responds predominantly to demands by EU Member States France and Poland, stimulated by farmers’ protests, of greater protection for certain EU agricultural products that are in direct competition with Ukrainian products imported duty-free due to the ATMR. These demands are linked to events that occurred in the spring of 2023, when EU Member States bordering Ukraine, such as Poland, started denouncing the elevated transit flows and sales of agri-food products and their damaging effects on domestic producers, but also further farmers’ protests in early 2024. However, the suspension of TRQs for certain Ukrainian goods explains only partially the hardships perceived by the agri-food markets and operators in the EU Member States bordering Ukraine, as research centres like the European Policy Centre point out that logistical problems related to the Solidarity Lanes, such as insufficient storage capacities, led to an increase of logistics costs in bordering countries and to much of Ukraine’s produce being sold there. These factors, coupled with global agricultural commodity prices, eventually led to a downward pressure on prices of local agri-food products.
A delicate balance between liberalisation and protection
The reintroduction of TRQs on Ukrainian egg and sugar imports into the EU underscores the complex balancing act between trade liberalisation and market protection. While the ‘emergency brake’ might to a certain extent ease pressure on EU farmers, a more sustainable solution lies in reforming the Solidarity Lanes initiative, preventing local market disruptions in Eastern countries and giving Ukrainian goods better access to global markets.
The EU opened formal accession negotiations with Ukraine on 21 June 2024, signalling a long-term goal of full market access. However, this path is likely to be accompanied by transitional measures and safeguards, too, as evidenced by the pronouncements from officials like the European Commissioner for Agriculture, Janusz Wojciechowski, regarding the need to protect sensitive sectors like agriculture. It could, therefore, be reasonably expected that, in any event, the EU’s approach to market integration with Ukraine will be gradual, fostering trade openness alongside temporary protections for the EU’s agri-food sector.
Indonesia’s Ministry of National Development Planning publishes the Roadmap & National Action Plan for Indonesia’s Circular Economy 2025-2045
On 3 July 2024, Indonesia’s Ministry of National Development Planning published the Roadmap & National Action Plan for Indonesia’s Circular Economy 2025-2045 (hereinafter, Circular Economy Roadmap), which is to serve as the Government of Indonesia’s national blueprint for fostering a “more sustainable and circular Indonesia”. The Circular Economy Roadmap outlines strategies and action plans across five priority sectors, namely: 1) Food; 2) Plastic packaging; 3) Electrical waste; 4) Textiles; and 5) Construction.
The strategies and action plans identified in the Circular Economy Roadmap are poised to lead to significant regulatory changes and to improve Indonesia’s circular economy. This article discusses Indonesia’s new Circular Economy Roadmap and looks at circular economy initiatives developed in other jurisdictions, such as in Singapore and in the EU, which could serve as inspiration and models for Indonesia’s efforts to achieve a more circular economy.
Towards a circular economy in Indonesia
‘Circular economy’ refers to a model of production and consumption that involves sharing, leasing, reusing, repairing, refurbishing, and recycling existing materials and products for as long as possible. Such model allows the life cycle of products to be extended, thereby reducing waste to a minimum. According to Indonesia’s Ministry of National Development Planning, the move towards a more circular economy would increase the country’s gross domestic product (GDP) to IDR 638 trillion by 2030, create 4.4 million ‘green’ jobs by 2030, and contribute to a reduction of 126 million metric tonnes of carbon dioxide. A more robust circular economy has been identified in Indonesia’s draft 2025-2045 National Long-Term Development Plan as one of the key strategies for achieving a green economy in Indonesia.
Various ministries and institutions in Indonesia have formulated diverse policies in relation to achieving a more circular economy. For instance, Indonesia’s Ministry of Agriculture issued Law No. 22 of 2019 on Sustainable Agricultural Cultivation Systems, while the Ministry of Environment and Forestry issued Regulation No. P.5/MENLHK/SETJEN/KUM.1/2/2019 concerning Procedures for Applying Environmentally Friendly Labels for the Procurement of Environmentally Friendly Goods and Services. Despite the existing policies, Indonesia’s Ministry of National Development Planning highlights that Indonesia’s level of circular economy achievement was still “very low compared to other countries”. In 2023, Indonesia’s circular material use rate only stood at “9 percent, the product durability level was 4 percent, and the recycling rate was 5 percent”.
Against this background, the Circular Economy Roadmap aims at building a comprehensive circular economy in Indonesia, particularly in the five priority sectors, namely food, plastic packaging, electrical waste, textiles, and construction. The five priority sectors were identified due to their significant contribution to Indonesia’s GDP. For each of the priority sectors, the Circular Economy Roadmap establishes the relevant strategies, action plans and targets based on the “9R” framework, namely “Refuse, Rethink, Reduce, Reuse, Repair, Refurbish, Remanufacture, Repurpose, and Recycle”. The action plans are to be implemented during the next 20 years until 2045 and are to be evaluated every five years.
The food sector: Increasing the quality of food and preventing food waste
Food waste is still a major issue in Indonesia, with 5 to 19 million metric tonnes of food wasted every year. According to the Circular Economy Roadmap, there are several challenges that hinder the progress towards achieving a circular economy in Indonesia’s food sector, such as the massive implementation of conventional farming practices, low utilisation of environmentally friendly technology, and the suboptimal management of food loss and leftovers. To address these issues, the Circular Economy Roadmap proposes two main strategies, namely “Improving the production quality of raw food materials and processed foods” and “Preventing and effectively utilising food losses and leftovers”, as well as 11 action plans, including increasing post-harvest processing facilities and standardising food labels and date markings in Indonesia.
For instance, with respect to date marking, unclear rules on the application of date markings and discrepancies in date marking across different product types can contribute to household food waste, since food is often discarded despite it being still good to consume. Therefore, the Circular Economy Roadmap underscores the need for the Government of Indonesia to develop a specific and standardised regulation on food labels and date marking that can prevent food waste. Indonesia’s National Agency of Drug and Food Control has started drafting a policy paper on Labelling the End of Shelf Life (Date Marking) for Processed Food in Order to Support Sustainable Production, which will likely discuss certain key aspects, namely the marking for “use by” and “best before” dates. The EU, under its ‘Farm to Fork’ Strategy, also plans to update the rules on ‘use by’ and ‘best before’ dates, working on a revision of Regulation (EU) No 1169/2011 of the European Parliament and of the Council of 25 October 2011 on the provision of food information to consumers.
Plastic packaging: An ecosystem for redesign, reuse, and waste collection
In Indonesia, plastic waste constitutes the second highest proportion of overall waste generation, having reached 18% of total waste in 2022. The Circular Economy Roadmap highlights a number of challenges in implementing a circular economy approach with respect to plastic packaging, including the low rate of waste management, the lack of intervention concerning eco-design, and the low implementation of the Extended Producer Responsibility (hereinafter, EPR) principle, which refers to a policy approach that makes companies responsible for the environmental impact of their products along the entire lifecycle. To address these issues, the Circular Economy Roadmap proposes four main strategies, including “Redesigning and upgrading recycling rate”; “Managing bioplastic packaging”; “Increasing collection, recycling and recovery”; and “Developing a reusable packaging ecosystem”. The Circular Economy Roadmap also outlines nine relevant action plans, such as increasing the reusable packaging for household products and food and beverages.
In general terms, Indonesia’s waste management system remains insufficient due to a lack of proper recycling infrastructure and the absence of a comprehensive legal framework. Consequently, the recycling rate of plastic packaging in Indonesia only amounts to 10%, corresponding to less than 1 million metric tonnes of plastics being recycled annually. The Indonesian National Plastic Action Partnership, a non-profit organisation, notes that 70% of plastic residues in the country were mismanaged, most ending up in the ocean. The Circular Economy Roadmap highlights that a circular economy in the retail sector for plastic packaging, such as through the implementation of reusable packaging, was needed to reduce 21% of plastic waste by 2030. Regulations on plastic packaging, and on packaging more in general, have been developed in various regions, such as in the EU. Recently, the European Parliament approved the final text of the EU’s new Regulation on packaging and packaging waste (hereinafter, PPWR), which aims at preventing packaging waste and at increasing the re-use and recycling of plastic packaging. The EU’s PPWR provides for, inter alia, packaging reduction targets; a prohibition of certain single-use plastic packaging from 1 January 2030 for certain products, such as fresh fruit and vegetables; as well as the establishment of reuse targets for several types of packaging, such as for alcoholic and non-alcoholic drinks, which would be required to have at least 10% reusable packaging by 2030 and 40% by 2040.
Electronics: The need to reduce electronic waste
In 2023, electronic waste (hereinafter, e-waste) generation in Indonesia amounted to 2.1 million metric tonnes. Although the Government of Indonesia and the private sector have implemented several initiatives to reduce e-waste, including pick-up and/or collection programmes, such efforts have proven largely ineffective. Indonesia continues to face challenges due to insufficient e-waste collection and recovery facilities, and the absence of an EPR scheme for electronic products. To address these issues, the Circular Economy Roadmap outlines four main strategies, including “Developing and implementing Extended Producer Responsibility for electronic products” and “Developing circular economy infrastructure”, as well as 14 relevant action plans, such as the issuance of a regulation on EPR for electronic products, and increasing the number of recovery facilities for e-waste.
In Indonesia, the management of e-waste falls within the scope of Government Regulation No. 27 of 2020 concerning Specific Waste Management. As Indonesia lacks specific legislation governing e-waste and electrical equipment, the Circular Economy Roadmap underscores the need to issue a comprehensive regulation on, inter alia, e-waste processing and management, as well as the need for a related EPR scheme. In contrast to Indonesia, in 2021, Singapore introduced the Resource Sustainability (E-Waste Recyclers) Regulations 2021, which established an EPR scheme for e-waste management. Since 2021, producers in Singapore bear the responsibility for the collection and treatment of their electronic products when they reach the “end-of-life”. Producers are also required to, inter alia, register themselves with Singapore’s National Environment Agency prior to supplying electronic products and, for large retailers, to provide in-store collection of e-waste from consumers. In addition, Singapore’s National Environment Agency provides information on e-waste collection points available throughout the country and on e-waste collection drives for bulk e-waste.
Implications for businesses
If diligently implemented, Indonesia’s Circular Economy Roadmap is poised to have a significant impact across various industry sectors. The Circular Economy Roadmap notes that the formulation of regulations to implement the strategies outlined in the Roadmap, such as for e-waste management and reusable packaging, are expected to be developed between 2025 and 2029, and that several regulations, such as on food marking, were already in the drafting process.
Indonesia’s Circular Economy Roadmap can be considered an important step forward in guiding Indonesia’s transition to a more circular economy, particularly in the five identified priority sectors. While the Circular Economy Roadmap provides comprehensive action plans covering various stages of products’ lifecycles, they remain rather general, and will need to be further translated into concrete actions by Indonesia’s relevant ministries and agencies. In formulating its regulations, Indonesia should take into account relevant practices around the world to then develop its own suitable framework.
The EU notifies its revised rules concerning authorised oenological practices to the WTO and opens a public consultation in the EU
On 27 June 2024, the European Union notified to the WTO’s Committee on Sanitary and Phytosanitary Measures the Draft Commission Delegated Regulation amending Delegated Regulation (EU) 2019/934 supplementing Regulation (EU) No 1308/2013 of the European Parliament and of the Council as regards authorised oenological practices. The draft Regulation introduces new oenological practices, on the basis of resolutions adopted in 2022 and 2023 by the Organisation of Vine and Wine (hereinafter, OIV), and improves the clarity and coherence of some of the existing provisions. The draft Regulation also provides for the revision to the Annex of Regulation (EU) 2019/934. On 25 June 2024, the EU opened a consultation process at EU level on ‘Wine-making practices in the EU: updated rules – transposition into EU law of international recommendations’ regarding the same draft Regulation. This article reviews the draft Regulation and provides insights into the EU’s more general legal framework on oenological practices.
The EU’s legal framework on authorised oenological practices
Article 80 of Regulation (EU) No 1308/2013 of the European Parliament and of the Council of 17 December 2013 establishing a common organisation of the markets in agricultural products (hereinafter, the CMO Regulation) provides the general EU rules on ‘Oenological practices and methods of analyses’. Article 80(1) of the CMO Regulation provides that “only oenological practices authorised in accordance with Annex VIII shall be used in the production and conservation of the products listed in Part II of Annex VII in the Union”, which lists 17 categories of grapevine products, including wine, liqueur wine, and sparkling wine. According to Article 80(2) of the CMO Regulation, those products “shall not be marketed in the Union if: (a) they have undergone unauthorised Union oenological practices; (b) they have undergone unauthorised national oenological practices; or (c) they do not comply with the rules laid down in Annex VIII”.
According to Article 80(3) of the CMO Regulation, when authorising oenological practices, the European Commission (hereinafter, Commission) shall: “(a) take into account the oenological practices and methods of analyses recommended and published by the OIV, (…); (b) take into account the protection of human health; (c) take into account the possible risk of consumers being misled due to their well established perception of the product and their corresponding expectations, (…); (d) allow the preservation of the natural and essential characteristics of the wine (…); (e) ensure an acceptable minimum level of environmental care; (f) respect the general rules concerning oenological practices and the rules laid down in Annex VIII”.
Part I of Annex VIII of the CMO Regulation contains detailed rules regarding enrichment (i.e., the supplementation of the natural alcoholic strength by volume), acidification, de-acidification in certain wine-growing zones, and de-alcoholisation. Part II of Annex VIII provides for ‘Restrictions’ related to the oenological practices. More specifically, Part II lists three general restrictions, namely that: 1) “authorised oenological practices shall exclude the addition of water, (…)”; 2) “all authorised oenological practices shall exclude the addition of alcohol, except for practices related to obtaining fresh grape must with fermentation arrested by the addition of alcohol, liqueur wine, sparkling wine, wine fortified for distillation and semi-sparkling wine”; and 3) “wine fortified for distillation shall only be used for distillation”. Further restrictions apply regarding “fresh grapes, grape must and grape juice”, the “blending of wines” (i.e., “Coupage of a wine originating in a third country with a Union wine and coupage between wines originating in third countries shall be prohibited in the Union”), and regarding “by-products” (e.g., the use of wine lees or grape marc).
Supplementary oenological rules in Commission Delegated Regulation (EU) 2019/934
Commission Delegated Regulation (EU) 2019/934 supplementing Regulation (EU) No 1308/2013 of the European Parliament and of the Council establishing a common organisation of the markets in agricultural products provides the rules to “ensure the proper functioning of the internal market for grapevine products”. Regulation (EU) 2019/934 lays down supplementing rules concerning wine-growing areas where the alcoholic strength may be increased, authorised oenological practices and restrictions applicable to the production and conservation of grapevine products, the minimum percentage of alcohol for by-products and their disposal, and the publication of OIV files.
Notably, Regulation (EU) 2019/934 provides rules on the permitted oenological practices, “including the methods for sweetening wines, the limits on the use of certain substances that may be used for winemaking and the conditions for using some of those substances for wine-making”. Table 1 of Part A of Annex I to Regulation (EU) 2019/934 lays down the authorised oenological processes and the conditions and limits of their use. Table 2 of that Part lays down the authorised oenological compounds (i.e., acidity regulators; preservatives and antioxidants; absorbents; activators for alcoholic and malolactic fermentation; clarifying agents; stabilising agents; enzymes; gases and packaging gases; fermentation agents) and the conditions and limits of their use.
International standards on oenological practices
On an annual basis, the OIV publishes the International Code of Oenological Practices, providing a compilation of all OIV resolutions on definitions of vine products, and on the oenological and production practices permitted for each of these products. As an intergovernmental organisation, the OIV is currently made up of 50 Member States, of which 20 are Member States of the EU, which has had special observer status since 2017. On 5 December 2019, the European Commission’s Directorate-General for Agriculture and Rural Development published the List and description of the files of the OIV’s Code of Oenological Practices in the Official Journal of the EU and in all EU languages in an effort to increase consistency between EU oenological practices and the International Code of Oenological Practices of the IOV. These files define the oenological practices, highlight their objectives, as well as their conditions of use, and the types of wines to which they apply. The files include various types of fermentation, of treatments, of pasteurisation, or ways to acidify or de-acidify wine, allowing wine makers to identify authorised practices in the EU, as well as all related requirements, in a more simple way.
The draft Regulation: new oenological practices on the basis of OIV resolutions
The EU continues transposing the recommendations by the OIV into EU law. The draft Commission Delegated Regulation amending Delegated Regulation (EU) 2019/934 introduces new oenological practices on the basis of resolutions adopted in 2022 and 2023 by the OIV to take account of technical progress. It also provides clarifications on, and improves the consistency of, some of the existing provisions.
Changes to Table 1 of Part A of Annex I to Regulation (EU) 2019/934 include: 1) A specification of the broad categories of heat and cold treatments referred to in the OIV files; 2) Regarding flotation (i.e., a clarification process where grape solids are separated in juice using gas), the reference to carbon dioxide is deleted and a reference to argon included; 3) It is clarified that the implementation of certain oenological practices is to be supervised by an oenologist or a qualified or specialised technician, due to their important role in ensuring operator safety, as well as food safety and quality; 4) The broadening of the scope of membrane technology to help EU wine producers further correct organoleptic defects of their wine.
Changes to Table 2 of Part A of Annex I to Delegated Regulation (EU) 2019/934 include: 1) The purity and identification specifications of substances used in oenological practices; 2) The treatment with ascorbic acid, providing for a maximum content of ascorbic acid in wine of 300 mg/l, as prescribed by the OIV; 3) The use of selective plant fibres in wine and must; 4) The treatment with gum arabic; 5) The use of the additives E 150a (plain caramel), E 150b (caustic sulphite caramel), E 150c (ammonia caramel), and E 150d (sulphite ammonia caramel) in the production of liqueur wines.
Consultation processes
On 27 June 2024, the European Union notified the Draft Commission Delegated Regulation to the WTO’s Committee on Sanitary and Phytosanitary Measures. According to the notification, the proposed date of adoption is “August/September 2024” and the proposed date of publication “October/November 2024”. The proposed date of entry into force is 20 days after publication in the Official Journal of the EU. The final date for the submission of comments by other WTO Members is 26 August 2024.
On 25 June 2024, the EU also opened a consultation process at the EU level regarding the draft Regulation, which includes an Explanatory Memorandum stating that “Stakeholders have had the opportunity to assess the various versions of the draft Delegated Regulation since those were uploaded on the Register of Commission expert groups and other similar entities open to the public on the Internet. Comments received on this basis have been included as far as possible. This consultation process led to a broad consensus on the draft Delegated Regulation”. Feedback can be submitted until 23 July 2024 and it appears that no comments have so far been submitted, which may be due to the fact that the draft Regulation merely transposes OIV developments into EU law.
The EU continues with updating its wine legislation
It should also be noted that, on the basis of Regulation (EU) 2021/2117 of the European Parliament and of the Council amending Regulations (EU) No 1308/2013 establishing a common organisation of the markets in agricultural products (see Trade Perspectives, Issue No. 17 of 19 September 2022), since 8 December 2023, all wines and aromatised wine products must provide nutritional information and the list of ingredients.
Operators had until 8 December 2023 to adjust to the new labelling requirements, while wine and aromatised wine products, that were produced and labelled before 8 December 2023, may continue to be placed on the EU market until stocks are exhausted. With the draft Delegated Commission Regulation, the EU now simplifies the requirements in wine making while increasing the consistency between EU oenological practices and the international Code of Oenological Practices of the IOV.
Interested stakeholders are advised to carefully monitor developments on oenological practices. The public consultation in the EU is an opportunity for stakeholders to provide feedback, which can also be provided through their Governments within the framework of the WTO consultations in the SPS Committee.
Recently adopted EU legislation
Trade Law
- Council Decision (EU) 2024/1647 of 30 May 2024 on the conclusion, on behalf of the Union, of the Economic Partnership Agreement between the European Union, of the one part, and the Republic of Kenya, Member of the East African Community, of the other part
- Economic Partnership Agreement between the European Union, of the one part, and the Republic of Kenya, member of the East African Community, of the other part
- Information concerning the entry into force of the Economic Partnership Agreement between the European Union, of the one part, and the Republic of Kenya, Member of the East African Community, of the other part
- Commission Implementing Regulation (EU) 2024/1801 of 28 June 2024 fixing the import duties in the cereals sector applicable from 1 July 2024 and repealing Implementing Regulation (EU) 2020/1221
- Agreement between the European Union and Ukraine amending the Agreement between the European Union and Ukraine on the Carriage of Freight by Road of 29 June 2022
- Council Decision (EU) 2024/1876 of 20 June 2024 on the signing, on behalf of the Union, and provisional application of the Agreement between the European Union and Ukraine amending the Agreement between the European Union and Ukraine on the carriage of freight by road of 29 June 2022
- Commission Regulation (EU) 2024/1827 of 1 July 2024 on the introduction and management of tariff-rate quota for eggs resulting from Regulation (EU) 2024/1392 of the European Parliament and of the Council on temporary trade-liberalisation measures supplementing trade concessions applicable to Ukrainian products under the Association Agreement between the Union and Ukraine
- Commission Regulation (EU) 2024/1825 of 1 July 2024 on the introduction and management of tariff-rate quota for sugar resulting from Regulation (EU) 2024/1392 of the European Parliament and of the Council on temporary trade-liberalisation measures supplementing trade concessions applicable to Ukrainian products under the Association Agreement between the Union and Ukraine
- Commission Implementing Regulation (EU) 2024/1866 of 3 July 2024 imposing a provisional countervailing duty on imports of new battery electric vehicles designed for the transport of persons originating in the People’s Republic of China
Customs
Trade Remedies
- Commission Implementing Regulation (EU) 2024/1896 of 11 July 2024 imposing a provisional anti-dumping duty on imports of certain polyvinyl chloride (PVC) originating in Egypt and the United States of America
- Commission Implementing Regulation (EU) 2024/1915 of 11 July 2024 imposing a provisional anti-dumping duty on imports of mobile access equipment originating in the People’s Republic of China
- Commission Implementing Regulation (EU) 2024/1940 of 11 July 2024 correcting Implementing Regulation (EU) 2024/1040 imposing a definitive anti-dumping duty on imports of certain polyethylene terephthalate originating in the People’s Republic of China
- Commission Implementing Regulation (EU) 2024/1943 of 11 July 2024 imposing a provisional anti-dumping duty on imports of optical fibre cables originating in India
- Commission Implementing Decision (EU) 2024/1900 of 11 July 2024 terminating the anti-subsidy investigation concerning imports of certain alkyl phosphate esters originating in the People’s Republic of China
Food Law
- Commission Regulation (EU) 2024/1808 of 1 July 2024 amending Regulation (EU) 2023/915 as regards the application date of lower maximum levels for ergot sclerotia and ergot alkaloids in food
- Commission Implementing Decision (EU) 2024/1822 of 2 July 2024 authorising the placing on the market of products containing, consisting of or produced from genetically modified maize DP915635 pursuant to Regulation (EC) No 1829/2003 of the European Parliament and of the Council (notified under document C(2024) 4492)
- Commission Implementing Decision (EU) 2024/1826 of 2 July 2024 authorising the placing on the market of products containing, consisting of or produced from genetically modified maize DP23211 pursuant to Regulation (EC) No 1829/2003 of the European Parliament and of the Council (notified under document C(2024) 4491)
Ignacio Carreño, Joanna Christy, Tobias Dolle, Alejandro López Bo, Alya Mahira, Stella Nalwoga, and Paolo R. Vergano contributed to this issue.
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