European Union seeks green standards, sustainable food systems

The European Union has proposed separate chapters on sustainable food systems, energy and raw materials in its free trade agreement (FTA) with India. Part of the proposal has sought profitable food systems, inclusion of environmental performance, methane emissions measurement standards and facilitating trade and investment in energy and raw materials.

Officials said intense negotiations are expected on these issues that have been included for the first time in India's trade agreements. The second round of talks is scheduled for September.

EU said a sustainable food system is "profitable throughout (economic sustainability); has broad-based benefits for society (social sustainability); and a positive or neutral impact on the natural environment (environmental sustainability), including climate change." ET has reviewed the text of the proposal.


EU has also suggested an annual action plan to monitor progress by establishing objectives and milestones.

Tough negotiations ahead
"EU's proposal that food systems should be profitable, but our Public Distribution System is not. India will have to safeguard its interests on PDS and minimum support price if such an obligation kicks in," said an expert on trade issues.

Similarly, the EU proposed "reducing the use of antimicrobials, chemical pesticides and fertilizers, improving animal welfare and promoting sustainable food production methods and practices, such as organic farming," which experts said, may have an implication on India's dairy produce and meat exports.

In the chapter on energy raw materials, the EU has said that for production of renewable energy, the two sides "shall not adopt or maintain any measure including local content requirements affecting the other party's products, service suppliers, investors or enterprises."