Agri-Food Monthly Insights: December 2025

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 I

Parliament Adopts its Position on Omnibus I

What? On 13 November, the European Parliament adopted its position on the Omnibus I simplification package, amending the Corporate Sustainability Reporting Directive (CSRD) and the Corporate Sustainability Due Diligence Directive (CSDDD), during a decisive plenary vote. 

The vote followed weeks of political uncertainty after Parliament unexpectedly rejected the Legal Affairs Committee’s trilogue mandate in late October. The plenary vote paved the way for trilogue negotiations with the Council and Commission, which started on 18 November and are expected to conclude by the end of the year.

The adopted position significantly raises thresholds for companies subject to CSRD and CSDDD, limits CSRD reporting information requests that can be made to out of scope suppliers, and deletes the EU-wide civil liability regime for due diligence violations, leaving enforcement to national systems.

Among the most salient issues to be negotiated with the Council are the exact CSRD application thresholds, the role of climate transition plans, and the extent of due diligence obligations in the supply chain.

Why is it important? The final version of the Omnibus now needs to be negotiated between the Council and the Parliament. Although the timeline is very tight, the colegislators hope to reach an agreement by the end of the year. By nature, due diligence rules directly targeting large companies have impacts on their smaller suppliers anywhere in the world, meaning that the exact wording of due diligence obligations will have considerable impact on a large number of companies worldwide.

For a complete overview of the Omnibus I negotiations, read our latest article: Navigating The Omnibus I Simplification Package: What to Expect In The Final Law.

2. AGRICULTURE SIMPLIFICATION

Agriculture Rules To Be Simplified

What? Simplification is not limited to the Omnibus I package on sustainability due diligence and reporting. The agrifood sector is specifically targeted by the European Commission’s simplification drive through the following initiatives:

  • Finalisation of Omnibus I on Agriculture: After weeks of negotiations, the first simplification omnibus for agriculture has crossed the finish line. This package aims to streamline CAP-related processes and reduce red tape, while preserving core environmental safeguards.
  • Food and Feed Simplification Omnibus: A second agriculture-specific omnibus is expected on 16 December, targeting food and feed regulations. The goal is to make compliance easier for farmers and operators without compromising food safety standards. Pesticide rules will be a major focus of this legislation.
  • Organic Rules Review: The Commission plans to reopen the 2018 Organic Basic Act by year end to simplify certification requirements and reduce paperwork. The revision could be part of the Food and Feed Omnibus. The move comes as the EU struggles to meet its 2030 target of 25% organic farmland, currently stuck at around 11%. New requirements for smallholder farmers had been put in place at the beginning of the year, increasing the cost of compliance for non-EU producers. 

Why is it important? Farmers have historically been very vocal about excessive regulation and a crushing administrative burden. As the EU is going against the point of view of the largest farmers’ representatives on a trade deal with Latin America or the role of the common agricultural policy from 2027, simplification is an answer to their concerns about their competitiveness and income levels. A more in-depth reform of the Common Agricultural Policy will be negotiated within the 2028-2034 multi-annual financial framework.

3. EU DEFORESTATION REGULATION (EUDR)

Deforestation Rules in Uncertain Waters

What? As detailed in our last Agri-Food Monthly Insights, in October, the European Commission put forward a proposal to simplify the EU Deforestation Regulation (EUDR). We now have more information on the reaction of the other European institutions:

  • The Council called for a uniform one year delay for the EUDR’s entry into force, pushing the compliance deadline to end of December 2026 for large and medium companies, and mid-2027 for SMEs. 
  • Other key elements include shifting the responsibility for submitting due-diligence statements solely to the operator first placing products on the market. Downstream operators and traders will not have to file their own statements and simply refer to the original reference. Micro and small primary operators would be allowed to submit a one-off simplified declaration.

In the European Parliament, the centre-right EPP allied with the conservatives and far-right parties to adopt a similar position, delaying the entry into application of the law by one year for all operators. In addition, the Parliament also proposed that due diligence statements would be submitted only by the operator first putting a product on the EU market and SME producers would only have to submit one-off simplified declarations. 

Parliament’s approach is largely in line with the Council’s position, which makes an inter-institutional agreement by the end of the year likely. A 2026 review could result in another proposal to amend EUDR.

Why is it important?  The simplification of the EUDR will directly influence how quickly companies must adapt and how burdensome compliance will be across the supply chain. The final shape of the rules will set the tone for the EU’s broader approach to deforestation-free trade.

If you’d like to explore the topic further, have a look at our in-depth blog article: EU Deforestation Regulation: Delays, Simplifications, and What Lies Ahead

4. UNFAIR TRADING PRACTICES

Green Light for the Unfair Trading Practices Regulation

What? On 12 November, the Council and European Parliament reached a provisional agreement on a new regulation designed to improve cross-border enforcement of the Unfair Trading Practices (UTP) Directive in the agricultural and food supply chain. This regulation does not amend the 2019 Directive but introduces mechanisms to make enforcement more effective when suppliers and buyers operate in different Member States. For example, retailers and suppliers will be allowed to apply supplier national rules to a contract signed in another country, as long as both parties agree. The regulation now awaits formal endorsement before adoption.

At the same time, the European Commission is finalising its evaluation of the UTP Directive. This review will assess whether the Directive has achieved its objectives and could pave the way for a broader revision. Farmer organisations are calling for stronger measures, including a ban on purchasing agricultural products below production cost, while retailers warn against measures that could fragment the Single Market.

Why is it important? The EU’s push against unfair trading practices reflects a broader trend to rebalance power in the food chain and ensure sustainability and competitiveness. Retailers are not particularly satisfied with the text, declaring in the press that the law “​​risks undermining the EU’s pledge to deliver clear, workable legislation and to strengthen the Single Market”. Implementation of the rules will bring more clarity on sanctions and liability issues.

5. CLIMATE

Parliament and Council Need To Find Compromise on 2040 Targets

What? On 13 November, the Parliament approved its position on the 2040 climate targets. The headline 90% emission reduction objective for 2040 is maintained, but the EU could allow 5% of its emissions reduction to be met through carbon reduction abroad. The use of international credits would be allowed from 2036, with pilot projects from 2031. The Parliament’s proposal also includes a delay of the entry into force of the carbon allowance trading scheme for heating and transportation (ETS II).

Parliament will now need to reach an agreement with the Council, which had adopted a similar position on the use of international carbon credits. 

Why is it important? International carbon credits remain a subject of debate. They would allow Member States to spend on  non-EU carbon reduction instead of investing in domestic measures. The credibility of international carbon offsets is also lower than European credits due to more stringent quality controls in the EU. 

The agreement to maintain the 90% headline target shows that the majority of the European Parliament and EU Member States remain committed to climate action. However, the rejection of the objective by a significant part of the EPP (centre-right) group sends a worrying signal for those who count on the bloc’s climate commitments. 

6. BIOCONTROL

European Parliament Pushes for Faster Biocontrol Approvals

What? Biocontrol refers to the use of natural organisms such as beneficial insects, microbes, or other biological agents to manage pests and diseases, as an alternative to chemical pesticides. These solutions are generally safer for the environment and human health, but their uptake in the EU has been slow due to lengthy approval processes. 

The European Parliament’s Environment and Agriculture Committees have adopted an own-initiative and non-binding report calling for accelerated registration and uptake of biological control agents (biocontrol) across the EU. The initiative, backed by an overwhelming majority in the committee, was approved on 24 November by the European Parliament’s plenary sitting.

The report highlights the need to revise EU rules to create clearer legal definitions and to streamline approval processes. Currently, biocontrol products can take up to 10 years to reach the market due to complex regulatory hurdles. Parliament proposes:

  • A single EU-wide approval process instead of the current three-zone system.
  • Increased funding for European and national authorities to speed up assessments.
  • Priority lanes for biocontrol applications and mutual recognition among Member States.
  • Stronger information-sharing and farmer guidance to ensure effective use.

The European Commission is expected to regulate how to speed up access to biocontrol alternatives in its upcoming Omnibus on Food and Feed Safety, scheduled for 16 December.

Why is it important? Biological control agents offer an alternative to chemical pesticides, reducing environmental impact and health risks while supporting the EU’s Farm to Fork and biodiversity goals. For farmers, faster access to biocontrol means more tools to manage pests amid growing restrictions on chemical pesticides, and responding to high consumer expectations of greener production. However, success will depend on adequate funding, harmonised rules, and clear guidance to ensure these solutions are practical and effective on the ground.

7. ULTRA-PROCESSED FOODS (UPF)

Ultra-Processed Foods Under EU Spotlight

What? Ultra-processed foods (UPFs) are now on the EU policy radar. A leaked draft of the EU Cardiovascular Health Plan reveals plans to introduce taxes on unhealthy and highly processed foods as part of a broader strategy to curb cardiovascular disease. The move was confirmed by Health Commissioner Olivér Várhelyi, who has signalled for months that Brussels intends to take action on UPFs.

The draft proposal aligns with recent recommendations from the Lancet and other public health bodies, which call for fiscal measures to reduce UPF consumption.

Why is it important? UPFs take a major place in today’s diets. Research has found that UPFs provide on average 27% of daily energy intakes in Europe, fluctuating from 14% in Romania to 44% in Sweden. UPFs have been accused by health associations of being unhealthy, nutrient-deficient, and favoring obesity. 

Industry groups, however, are pushing back hard. FoodDrinkEurope and the International Food and Beverage Alliance argue that the tax would unfairly target safe, affordable, shelf-stable products and could limit access to nutrient-dense processed foods. They warn that an unclear definition of UPFs risks creating “legal uncertainty” and that the measure would undermine consumer choice.

Things to watch: Agenda for December 2025

Water Resilience Forum

8 December 2025

Following the adoption of the European Water Resilience Strategy, the first Water Resilience Forum will bring together policymakers, scientists, industry leaders, and civil society to chart the path toward a water-resilient EU by 2050. The event will take place in Brussels.

The new EU Bioeconomy Strategy and forest-based industries – A Europe-grown success story

9 December 2025

This event on bioeconomy and forests of the MEP Group on ‘Climate Change, Biodiversity and Sustainable Development’ is taking place around the release of the EU Bioeconomy Strategy. It comes at a pivotal moment when the bioeconomy can play a key role to become a cornerstone of the EU’s green growth strategy. This event aims to inform policy discussions taking place within several key Committees of the European Parliament, and underline the multiple benefits of bioeconomy for sustainability. The event will take place in Brussels.

Public Consultation: On-farm animal welfare for certain animals: modernisation of EU legislation

Closed on 12 December 2025

The European Commission opened a public consultation ahead of the revision of the EU animal welfare legislation, including a follow-up on the commitment to phase-out the use of cages for certain animals.

Public Consultation: Land use, land use change and forestry – establishing trajectories towards 2030

Closes on 12 December 2025

The European Commission opened a public consultation on upcoming national natural carbon capture targets in the Land use, land use change and forestry (LULUCF) regulation.

EU Agri-Food Days

15-17 December 2025

The EU Agri-Food Days are the forum for stakeholders to discuss the outlook of European agriculture, agricultural market trends, food security, sustainability, digital technologies and data flows together with farmers, EU policy makers, civil society, and business representatives. The events will take place in Brussels, and some elements will be webstreamed.

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