ESG, Plastics, Chemicals, Biodiversity, Cannabis, Carbon Credit Scandals, Supply Chain, Food Contact Materials ...
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Plastics
·?????? Colombia’s Technical Standards
As the world moves forward with a global treaty on plastics pollution, a great deal of work is happening below the radar in national legislation, state and municipal regulations, and even for-now-voluntary technical standards.? If you are active in plastics, take note that Colombia’s national standard setting organization, ICONTEC, has up for public comment the following draft technical standards:
NTC 6742:? Recycled Plastics: Characterization of recycled PVC
NTC 6743: Recycle Plastics: Characterization of plastic waste
NTC 6744: Recycled Plastics: Characterizaton of recycled PET
As regulations emerge that require recycled plastic content – or permit it – these types of technical standards that start out as voluntary often become mandatory as they are adopted by reference in national laws and regulations.? If you are interested in where the plastic agenda is going next, check out these types of technical instruments.
All comments are due by July 18, 2024.
Link to ICONTEC consultations:
·?????? Ecuador’s National Roadmap for Action on Plastics
Ecuador joins the other countries in Latin America tackling plastic pollution.? This month it announced a national Roadmap on Action on Plastics that aims for a 60% reduction in plastic pollution and 45% circularity by 2040. To achieve the goal, the country proposes to work on circular economy policies, improved collection, domestic recycling and information gathering based on five axes:
1. ??????? Adopting a preventive perspective to reduce the generation of plastic waste, prioritizing efforts in disposal and reuse.
2.???????? Encouraging innovation to migrate to non-plastic substitutes and alternative plastics that do not generate negative environmental, social and health impacts.
3.???????? Increasing collection coverage and creating adequate disposal sites for waste, as a short-term measure to reduce plastic pollution in Ecuador.
4.???????? Stimulating recycling with an inclusive approach and guaranteeing fair conditions for workers, through the redesign and implementation of improved systems.
5.???????? Improving data collection and management to align strategic efforts between government agencies, the private sector and civil society.
Only time will tell if these major national policy initiatives have an impact on the ground.
·?????? Peru Defining Biodegradable Plastic
Okay, so a country first bans plastic cutlery – straws, forks, spoons, coffee stirs, etc.? Peru, check.
Then the next step is to require biodegradable alternatives.? Check.
But what are we defining as biodegradable plastic?? The regulatory details here become quite important. ?And for product manufcturers, the news is that the details are coming fast, and unfortunately, we are not necessarily seeing harmonization.
Peru has posted for public comment its draft mandatory technical regulation on biodegradble plastic tableware for food and beverages for human consumption.? The Draft sets out a list of tariff codes that would be covered by new requirements.? It sets out key definitions for biodegradability and will require Certification of Biodegrability, labeling, sampling, testing, and more.
Link to Draft:
Intersectionality: Biodiversity & Bioeconomy
·?????? Brazil:? ?IP, Genetic Resources, and Traditional Communities
Over 20 years ago, I recall reading about companies that sent researchers into the Amazon without permits to harvest traditional remedies and living materials to take back to labs outside the country to develop patentable materials based on those living organisms.? Brazil at the time called this illegal act “biopiracy.”?
Now, Brazil has joined an international treaty that seeks to protect the traditional knowledge and local genetic resources of countries rich in biodiversity.? In May, Brazil signed the Treaty on Intellectual Property, Genetic Resources and Associated Traditional Knowledge which incorporates respect for genetic heritage and the knowledge of indigenous peoples and traditional communities into the intellectual property system.
Now, patent applicants will be required to disclose access to genetic resources and associated traditional knowledge necessary for their inventions.? Brazil is moving on several fronts to promote the bioeconomy while still protecting biodiversity and the traditional communities that live in these biomes.?
·?????? Chile: Biodiversity & Business
As reported, Chile is moving forward with new laws and regulations around biodiversity and nature.? In the last few weeks, the Ministry of Environment launched the Business Biodiversity Action Plan.? The new initiative, funded in part through the Global Environment Facilty (GEF), seeks to encourage the private sector to generate positive impacts on nature and biodiversity.? Chile joins Colombia, Malaysia, and South Africa in implementing such a program – which seeks to develop a joint action instrument based on dialogue between business and government.?
A Strategic Business Committee ha already been formed with representatives from over a dozen of Chile’s largest businesses – from mining companies to consumer products.? Work will move quickly on development of the Plan so it can be presented in October in Colombia at the COP16 on Biodiversity.
Stay tuned for more on bioeconomy and biodiversity out of Brazil and Chile – and all of Latin America.
Chile: Pesticide Regulations
Chile recently posted for public comment a revision to its rules on the conditions and requirements around samples of pesticides for experimental use only from the Agriculture and Livestock Service (SAG) – either for entry into the country or for formulation and use of the samples.? The new rule would repeal a 2002 standard if adopted. ?Comments are accepted until July 24, 2024.
Link to Proposal:
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Sustainability & Insurance
Brazil is moving on all ESG/sustainability fronts.? This month, the Superintendence of Private Insurance (SUSEP) put up for public comment a proposal for regulations of the classification of insurance and open-ended private pension products to be considered “sustainable” – in line with the country’s macro Ecological Transformation Plan and emerging Sustainable Taxonomy.? The public consultation is open until July 6, 2024 and can be accessed on SUSEP's website.
The Case for Supply Chain Traceability, Carbon Credit Audits, & Due Diligence
Imagine being the corporate employee who wakes up to find out that your beef has been coming from organized crime.? Without real traceability and a solid due diligence program, it is probably a question of when and not if it will happen.? Or imagine finding out your company’s carbon credit payments went into the pockets of organized crime.
This month Brazil’s federal police announced a major sting confusingly called “Operation Greenwashing” that seeks to bring to justice a criminal organization alleged to have stolen some $35 million in carbon credits from illegally invaded federal lands.
So far, the investigation turned up a land fraud scheme that spanned more than a decade, involving the duplication and falsification of property titles. These frauds resulted in the illegal appropriation of around 538,000 hectares of public land.
Between 2016 and 2018, the criminal organization expanded its illicit activities, reusing property titles and inserting false data into the Land Management System (SIGEF), with the help of corrupt public servants and technical officials.
?The investigation is very much ongoing, and we can expect to hear more.
?Lesson:? Institute serious internal due diligence and even selective audit procedures for your carbon credit purchases and your supply chain sourcing.
?Brazil’s Impact Economy / ESG
The Ministry of Development, Industry, Trade and Services (MDIC) just launched the National Impact Economy System (SIMPACTO) – the same day it published the rule setting up the SIMPACTO.?The new system seeks to promote convergence between the federal government, states, and municipalities in order to strengthen the business environment for the impact economy. ?As used in this context, “Impact Economy” is an economic modality characterized by the balance between the pursuit of financial results and the promotion of solutions to social and environmental problems, through ventures with a positive socio-environmental impact, which enable the regeneration, restoration and renewal of natural resources and the inclusion of communities, contributing to an inclusive, equitable and regenerative economic system. Brazil continues to move on sustainability and ESG on all fronts.
Link to SIMPACTO:
?Brazil’s New Ecolabel
?The new Green Seal Brazil program was just created to issue voluntary ecolabels to sustainable products. With meaningful standards and required certifications, reliable ecolabels cut down on greenwashing … and boost consumer confidence in “greener” alternatives.
The goal is to create national guidelines for the standardization and certification of products and services that demonstrably meet pre-defined sustainability requirements.
Certification of products and services will be voluntary and by third parties.?
?The Brazil Green Seal will be given to products and services from the primary, secondary or tertiary sectors, provided they meet the minimum requirements for socio-environmental sustainability defined in a Brazilian technical standard.
?The goals are to:
???????? to increase the quality and competitiveness of Brazilian products and services;
???????? to encourage the consumption of sustainable products, in order to help consolidate a sustainable market in the country;
???????? to strengthen the use of Environmental, Social and Governance (ESG) criteria and the circular economy;
???????? to stimulate the growth of the green economy;
???????? to contribute to sustainable development and the reduction of greenhouse gas emissions;
???????? to provide an accurate and verifiable information tool that proves compliance with pre-defined sustainability requirements; and
???????? to contribute to strengthening the process of sustainable public procurement in the country
?The ecolabel itself and other regulatory details are yet to be defined by the federal government.
?Companies on the market in Brazil should be on the watch for the emergence of - and consider adoption of – the new ecolabel for their product and services.
?Mercosur & Food Contact Materials
?Mercosur, the Common Market of the South, made up of Argentina, Brazil, Paraguay and Uruguay, has two draft technical standards or modifications up for consultation that will have an impact on regulations in all members countries as adopted.?
?1)???? Mercosur Technical Regulation on Regenerated Cellulose Film Destined for Food Contact (which would replace a 1997 Mercosur Standard) and
2)???? Revision to Mercosur Technical Regulation on cellulose food contact material with regard to the restriction on diisopropylnaphthalene in the cellulose material that uses recycled fibers in its production
?Both standards are up for comment at the WTO.
?Costa Rica:? Draft Technical Regulation on Hemp & Hemp Products
?Whether it’s food, cosmetics, health supplements, hygiene products, household pesticides, chemical products, biomedical equipment or material – if you plan to have hemp in it in Costa Rica, then you should take note of a draft technical regulation posted for public comment.? The Draft sets out details on administrative procedures, sanitary registration, labeling, specifications, controls, and advertising.?
?Costa Rica joins other countries in the region that have already passed laws approving certain uses of cannabis and hemp that are getting down to the regulatory nuts and bolts that will allow the expansion of this sector.? The Draft was sent to the WTO for public consultation.
?Link to Draft:
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