Policy briefs
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17 June 2025
A Burden or a Boost? Corporate Sustainability Due Diligence in European Agriculture
In short
- Geopolitical tensions, trade barriers, and climate change challenge the resilience of the European agri-food sector
- Negotiations about the new Common Agricultural Policy (CAP)-cycle revolve around competitiveness, and less around sustainability
- Creating synergies between a due diligence supply chain approach and the CAP could boost both competitiveness and sustainability
- This would require more alignment between the CAP and the Corporate Sustainability Due Diligence Directive
The next Common Agricultural Policy (CAP) cycle is being discussed amid geopolitical and global trade tensions, and a shift in focus (by the European Commission) to the competitiveness of the European Union (EU).
The discussions are taking place in parallel with the introduction of certain sustainability measures of the Green Deal. These measures, such as the Corporate Sustainability Due Diligence Directive (CSDDD), are often presented as contrasting with competitiveness, or as an additional administrative burden. Instead, this policy brief highlights the potential benefits of the sustainability measures for European agriculture. It argues that, if applied astutely, the measures could boost the EU’s competitiveness and food security, whilst easing regulatory burdens, and reinforcing the position of farmers in agri-food chains.
