European Flavour Association (EFFA)’s Post

The landscape of corporate responsibility is undergoing a significant transformation in the European Union with the introduction of the Corporate Sustainability Due Diligence Directive (CS3D). This pivotal change is poised to reshape the core operations of businesses across the EU. Is your organization prepared for this shift? Uncover the ways in which the CS3D will enhance the enforcement of environmental standards and human rights protections. Gain valuable insights into the enhanced measures of corporate transparency and responsibility that will be required. Most importantly, equip yourself with the knowledge of actionable steps to ensure your company is in full compliance with the impending regulations. Access our in-depth guide here: https://ow.ly/vXb250SqJQu.

The Corporate Sustainability Due Diligence Directive (CS3D) is set to redefine the way businesses operate within the EU. Are you ready?   Our latest publication, authored by experts Jochem Spaans, Caroline Obenhuijsen, Romaric Lazerges, Jennifer Younan, Elise Edson, Gauthier van Thuyne, Matt Townsend, Ying-Peng Chin (陈颖芃) and Danae Wheeler, delves into the intricacies of the directive and its implications for your company.   Discover how the CS3D will demand greater transparency and accountability in environmental and human rights matters and learn what steps you need to take to align with these upcoming regulations: https://ow.ly/vXb250SqJQu

As our experts point out in this piece, the entry into force of the Corporate Sustainability Due Diligence Directive is going to change the way that companies do business in the EU. And with regulatory enforcement and civil liability mechanisms to give it teeth, it is also going to lead to a significant amount of litigation.

It’s not perfect, but it’s a step in the right direction. Today the European Parliament approved the Corporate Sustainability Due Diligence Directive (#CS3D or #CSDDD) – all that remains is for the EU ministers to rubber stamp the directive. CS3D is perhaps one of the more surprising, and certainly controversial, outcomes of the EU’s “Fit for 55” agenda to commemorate its 55-year history by issuing a raft of green incentives and requirements. In a nutshell, from 2026 CS3D will require the largest EU companies to identify, mitigate, prevent and end adverse environmental impacts and human rights abuses throughout the value chain (i.e. both upstream through the supply chain and downstream through distribution channels). Non-EU groups with EU-generated revenues in excess of €450 million are also in scope. Tomorrow Mark J Lumsdon-Taylor and I will be presenting to #ICAEW members on CS3D and other critical ESG developments.   Ruby Schofield ACA Anne Walton Sarah Reay MHA Baker Tilly

Time to celebrate❗❓ Yes, we need to improve, but also acknowledge when we make a significant step forward 💥 Here's why today marks a pivotal moment: The EU Parliament did its final vote for the #CSDDD. While many rightly express concerns about it being watered-down, it's crucial to highlight why even this version of the Directive holds significance for driving supply chain transformation. 1️⃣ Signal of Progress: By integrating sustainability due diligence into 'hard law', CS3D sets a precedent, moving beyond mere principles towards actionable legal obligations. 2️⃣ Ripple Effects: The CSDDD indirectly impacts a wide array of companies operating within global value chains, fostering a ripple effect of sustainability awareness and climate action. 3️⃣ Discussion: Despite its limitations, the Directive provides a legal foundation for ongoing discourse and potential future expansion, serving as a catalyst for broader sustainability initiatives and discussion between business partners. 4️⃣ Global Inspiration: As a pioneering effort, the CSDDD sets a benchmark for future due diligence regulations worldwide, offering a roadmap for other regions to follow suit and learn from its implementation. 5️⃣ Knowledge: CSDDD promotes understanding and adoption of climate risk-based due diligence practices throughout supply chains, fostering accelerated action to drive decarbonization along supply chains. With the EU Parliament's approval, the journey towards net zero got again more momentum. Yet, while this marks a significant step forward, there's still a need for continued political support, overcoming implementation challenges and action to ensure effective results. #ClimateAction #SupplyChain #Decarbonization #Scope3

👏 So pleased to see the Council of the European Union adopt the Corporate Sustainability Due Diligence Directive (CSDDD) today. Leo Donnachie and I have been advocating consistently for a CSDDD that is ambitious on climate, but workable in practice. 🌡 The agreement includes requirements for companies to adopt transition plans that align with a 1.5C world. Although corporate disclosures on climate have improved, it is important that companies progress towards real action to address climate impacts. This requirement should encourage that action.

Our partners Gauthier van Thuyne and Axel de Backer are leading the charge in guiding clients through the EU's new sustainability landscape. With the Corporate Sustainability Due Diligence Directive (CS3D) having entered into force and the first sustainability reports under the CSRD due in 2025, it's a critical time for Belgian CEOs and directors to get ahead.   The financial press is taking note, and so should you. In a recent L'Echo feature, our experts break down the CSRD and CS3D's impact on Belgian businesses and also discuss the misalignment between CSRD reporting and CS3D due diligence, which adds additional layers of complexity and demands early and careful planning. Their clear conclusion is to not sit back until the CS3D’s 2026 transposition deadline - the time to strategize is now.    Stay informed and prepared. Dive into the insights from our Belgian sustainability group leaders and ensure your company is on the right track. You can read the full article here: https://bit.ly/3SkVDR2   #corporatesustainability #duediligence #reporting #CSRD #CS3D #AOShearman

 The European Parliament has passed the CS3D, a crucial development in corporate sustainability. This directive will enforce comprehensive due diligence practices, impacting thousands of EU and non-EU companies. Learn how this affects your industry and prepare for the upcoming changes. Read More here: https://lnkd.in/dRc7i_iy 🌱 #CS3D #BusinessEthics #SustainabilityLeadership

𝐂𝐒𝐃𝐃𝐃: 𝐓𝐡𝐞 𝐄𝐔 𝐡𝐚𝐬 𝐫𝐞𝐚𝐜𝐡𝐞𝐝 𝐚𝐧 𝐚𝐠𝐫𝐞𝐞𝐦𝐞𝐧𝐭 The road to the future EU directive has been a rough one: there was a lot of debate, backtracking and adaptation - causing great confusion and uncertainty among our customers. The directive has not yet been finally adopted, as one more vote in the EU Parliament lies ahead, but the latest developments now point to a decision.   Our article provides an overview of past events, different points of view, the current requirements and a recommended course of action for companies. Many are afraid of all the effort, paperwork and complexity of the topic. Synergies with other regulations can reduce the workload and significantly improve the result! #eu #csddd #cs3d #supplychain #eusupplychainact #esg #duediligence

#CSDDD - are we ready to go? With the recent decision there is only one last vote in April in the EU Parliament. We do not excpect any more drawbacks, so we can consider these requirements as final. The CSDDD was a major subject of debate among our clients and we are happy to finally give them concrete answers! Eventhough the thresholds were raised and therefore less companies have to comply with its criteria, the directive is a significant step towards sustainable supply chains. In the end, many companies will indirectly be affected as a part of supply chains of bigger companies.  We definitely consider it as an important milestone that taking care of fair and environmentally friendly production within the value chain is no longer a "nice to have" criteria. There will certainly be a lot to do, but companies won’t always have to start from scratch! Read more about it below.