Agri-Food Monthly Insights: April 2025
About the Author: Kelly Reed
Welcome to our monthly insights into all EU agri-food policy news – from legislations and debates to political deals and manoeuvring – directly from Brussels and with a focus on sustainability.
Major EU developments in detail
1. OMNIBUS SIMPLIFICATION PACKAGE
Member States And The European Parliament Adopt Their Positions On The ‘Stop-The-Clock’ Mechanism
What? The European Parliament and EU member states in the Council of the EU approved the European Commission’s ‘stop-the-clock’ directive, which postpones the Corporate Sustainability Reporting Directive (CSRD) requirements for large companies and listed SMEs by two years and delays the Corporate Sustainability Due Diligence Directive (CSDDD) transposition deadline and initial application phase by one year. This directive is part of the ‘Omnibus I’ package introduced by the Commission in February 2025 to reduce the administrative burden placed on European companies. Policymakers are now ready to enter inter-institutional negotiations to agree on the final text.
In the meantime, the Omnibus negotiating team is taking shape in the European Parliament, to work on the more substantive provisions. Swedish center-right EPP MEP Jörgen Warborn has been appointed as the rapporteur for the Parliament’s report, while French MEP Pascal Canfin has been designated as the shadow rapporteur for the liberals Renew Europe.
Why is it important? The revised CSRD and CSDDD will have a significant impact on many large European companies, making it essential to closely monitor the updated implementation timeline. While a swift consensus is expected on the first part of the Omnibus I package, the second part is likely to involve more contentious negotiations.
Key areas of debate include the proposal to limit due diligence to direct partners unless “plausible information” suggests otherwise. This raises questions about what qualifies as plausible and whether this approach genuinely benefits companies. Another point of contention is the restriction on the information that can be requested from smaller partners, raising concerns about the feasibility of such a limitation. Additionally, the absence of EU-wide civil liability may reduce legal exposure for businesses but could also create uncertainty across different jurisdictions.
Read our blog article on the Omnibus Simplification Package for a deeper analysis.
2. EU DEFORESTATION REGULATION
Monitoring The Implementation Of The EU Deforestation Regulation
What? To support the smooth implementation of the EU Deforestation Regulation (EUDR) ahead of its entry into force on 30 December 2025, the European Commission has released a new document illustrating EUDR compliance through eleven visual supply chain scenarios.
Additionally, an updated edition of the FAQs, expected in April, will provide further details on key issues such as timeframe alignment, exports by small and medium-sized enterprises (SMEs), the role of customs representatives, e-commerce, verification of upstream due diligence, and technical clarifications related to the Information System (IS). The legal act establishing the country benchmarking system—which categorises countries into low-risk, standard-risk, and high-risk groups—is set to be published by June 2025 at the latest.
Why is it important?
The EUDR will be another key file to monitor in the coming months. While some stakeholders have proposed including it in the Omnibus package, the European Commission does not see the need, given the already adopted postponement and the clarifications provided through the FAQs and guidance aimed at simplifying implementation.
Meanwhile, as part of the ongoing EUDR review process, a scientific study and targeted stakeholder consultations are underway, with a broader, all-stakeholder consultation set to begin soon. The full EUDR review, expected in 2028, could bring significant changes or an expansion of the EUDR’s scope.
3. EUROPEAN COMMISSION ROUNDTABLE
The European Commission Hosts A High-Level Roundtable Focused On Water, Agriculture, And The Food Supply Chain
What? At the end of March, Commissioner for Environment, Water Resilience, and a Competitive Circular Economy Jessika Roswall convened with stakeholders from the water sector to discuss the forthcoming European Water Resilience Strategy. This initiative included a high-level roundtable focused on Water, Agriculture, and the Food Supply Chain, where participants engaged in discussions on how the agricultural and food sectors can improve water resilience.
Why is it important? The discussions surrounding the European Water Resilience Strategy are crucial for ensuring sustainable water management in the agricultural and food sectors.
Expected on 4 June, the Strategy aims to repair the “broken water cycle,” strengthen the water industry’s competitiveness, promote a water-resilient society, and unlock innovative financing solutions, including private capital mobilisation. It will also include recommendations on water efficiency.
4. CAP BUDGET
Uncertainty Over The Future Of The CAP Budget
What? Discussions are taking place in the corridors of the European Commission to decide whether the budget of the Common Agricultural Policy (CAP) should be merged with the rest of the European budget, which is expected to prioritise defence spending amid ongoing geopolitical tensions. The move would threaten the untouchable status of the current CAP, potentially leaving the door open to spend this money on other priorities. The idea led to a backlash from many agriculture ministers across the bloc, as well as farmers representatives and MEPs.
Why is it important? The potential merger of the Common Agricultural Policy (CAP) budget with the broader EU budget raises concerns about the future of dedicated funding for farmers. If CAP loses its specific status, resources could be diverted to other priorities, jeopardising support for rural communities and food security.
5. AGRI-FOOD AND U.S. TARIFFS
Agri-food Sector Caught In The Crossfire Of U.S. Tariffs
What? The European Commission just closed a stakeholder consultation on the list of U.S. products which could be subject to retaliatory tariffs after the American administration imposed 25% tariffs on steel and aluminium. The Commission’s decision on which products will be affected remains unknown until 13 April, though many food products have been under consideration. The European food industry is worried that setting such tariffs could provoke counter-tariffs by the American administration, notably 200% percent customs duties on wine.
Why is it important? The potential imposition of EU retaliatory tariffs on U.S. products is a major concern for the agri-food sector, as it could trigger a trade war with significant consequences for European exporters. The U.S. has already threatened steep counter-tariffs, including a 200% duty on European wine, which would severely impact producers and disrupt transatlantic trade flows. With many food products under consideration, businesses must prepare for possible market volatility and supply chain disruptions.
6. EUROPEAN COMMISSION SUPPORTS EU WINE SECTOR
The European Commission Supports The EU Wine Sector In The Face Of New Challenges
What? On 28 March, the European Commission proposed a series of measures aimed at ensuring the competitiveness and resilience of Europe’s wine sector, which faces challenges such as shifting consumer trends, climate change, and market uncertainties. Key actions include controlling surplus production, easing replanting rules, increasing climate resilience support, clarifying marketing rules, harmonising labeling, supporting wine tourism, and expanding EU-funded promotions abroad.
Why is it important? While the EU wine policy has effectively protected and promoted EU wines, the sector is now facing challenges from demographic shifts, changing consumption patterns, climate issues, and market uncertainties. The European Commission’s initiative does not want to promote alcohol consumption. Instead, the wine sector is seeking support from the EU to facilitate promotional programmes and streamline the production and marketing of low- or no-alcohol wines, which are rapidly growing.
7. PFAS PESTICIDE USE
PFAS Pesticide Use Under Fire
What? On 4 March, MEPs from across the political spectrum urged the European Commission to ban PFAS pesticides in the EU, warning that their continued use threatens public health and undermines the EU’s environmental commitments. Their call is parallel to a study being conducted by the SPRINT project estimating the annual cost of pesticide use on ecosystems and human health at €10 billion.
Why is it important? PFAS, or “forever chemicals,” are highly persistent, mobile, and toxic substances that accumulate in water, soil, and even in humans, posing long-term risks to health and the environment.
Currently, 34 PFAS pesticides are approved for use in the EU, breaking down into trifluoroacetic acid (TFA), a harmful compound that lingers in ecosystems. As EU discussions on PFAS toxicity gain momentum, the European Commission is set to propose a ban on their use in consumer products, with potential restrictions in other sectors also under consideration.
8. NEW GENOMIC TECHNIQUES
New Genomic Techniques Proposal Moves To Inter-Institutional Negotiations
What? On 14 March, EU Member States agreed on their negotiating mandate for plants developed using new genomic techniques (NGTs). Their position excludes NGTs from organic production and calls for a database of all existing NGT patents.
However, the proposal has drawn criticism from small farmers and environmental groups, who fear it could pave the way for GMOs in the European food supply. This agreement allows negotiations to begin with the European Parliament, with the final regulation requiring formal approval from both the Council and Parliament before it takes effect.
Why is it important? The EU proposal aims to drive innovation and sustainability in the agri-food sector, enhancing food security and reducing external dependencies. It also seeks to ensure strict safeguards for human, animal, and environmental health while maintaining transparency and competitiveness in plant breeding. As negotiations progress, it will be crucial to monitor developments, but it is important to note that existing EU GMO regulations remain unchanged.
9. ANIMAL WELFARE DURING TRANSPORT
Divided European Parliament On The Animal Welfare During Transport Proposal
What? The European Parliament recently debated its draft report on the proposal for animal welfare during transport. While only technical amendments to the European Commission’s original text were agreed upon, key issues—including journey times, temperatures, space allowances, transport to third countries, sanctions, and the transport of aquatic species—remain unresolved.
With the Council delaying its work until Parliament finalises its position, negotiations between the two institutions are likely to take several more months before an agreement is reached.
Why is it important? In December 2023, the European Commission proposed new rules to strengthen animal welfare during transport. Negotiations in Parliament and Council are expected to be lengthy and contentious, with industry opposing higher costs and animal protection groups pushing for stricter measures.
10. FERTILISERS SANCTIONS
Fertilisers Sanctions One Step Closer To Concretisation
What? On 14 March, Member States agreed to gradually increase tariffs on Russian and Belarusian fertilisers over three years, with support measures in place to assist European farmers in case of price hikes.
The affected agricultural products accounted for 15% of all EU agricultural imports from Russia in 2023, and once implemented, the new tariffs will apply to all Russian agricultural imports. The European Parliament must still adopt its position before inter-institutional negotiations can begin.
Why is it important? The EU’s decision to raise tariffs on Russian and Belarusian fertilizsers could impact supply chains and input costs for European farmers. While support measures aim to mitigate price increases, concerns remain over market stability and access to alternatives.
Things to watch: Upcoming Events
Feedstocks and Biofuels Europe 2025
April 08-09, 2025
Organised by fastmarkets, held in Rotterdam, Feedstocks and Biofuels Europe 2025 will explore the evolution of the biofuels markets, its opportunities and challenges in light of the most recent policy developments.
Joint PROFEL/FRESHFEL Conference.
The organisations of fresh fruits and vegetables producers in the EU will hold their annual Joint PROFEL/FRESHFEL Conference in Brussels to talk about sustainability and competitiveness in times of climate change.
From Field to Market: Unlocking the Competitive Edge of Primary Food Processing
Organised by the Primary Food Processors association, From Field to Market: Unlocking the Competitive Edge of Primary Food Processing will look at the competitiveness of the primary food processing sector in the face of increasing global competition, price volatility, and the challenges of decarbonisation.
Conference on the Vision for Agriculture and Food
Organised by the European Commission, the Conference on the Vision for Agriculture and Food will be an opportunity for the European Commission to gather and discuss feedback on its Vision for Agriculture and Food, as well as to engage with stakeholders on the future direction of the CAP from 2027 onwards. The web streaming link for the plenary session is not yet available.
If you have questions regarding anything in the Ohana Agri-Food Monthly Insights,
please reach out to Natalia Yerashevich at natalia@ohanapublicaffairs.eu or
Arthur Faure at arthur@ohanapublicaffairs.eu