Recent changes to the competition rules provide more leeway for sustainability agreements in the agricultural sector. A specific derogation from the cartel prohibition has been inserted in the CMO Regulation to allow vertical and horizontal agreements promoting higher sustainability standards in the agri-food supply chain. The same amendment provides for the recognition of producer and branch organisations pursuing sustainability objectives.
On 7 December 2023 the Commission adopted guidelines which provide more clarity on the scope of the new exemption for sustainability agreements.
We wrote a publication in which we discuss these amendments and other exemptions that may apply, with examples of the assessment of various sustainability initiatives against the exemption criteria.
