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DG discusses strategies for navigating new environmental regulations with industry leaders

The Director-General highlighted a marked increase in environment-related measures, noting that 8,661 environment-related notifications have been submitted to various WTO committees since 1997. She acknowledged the importance of robust environmental standards, traceability and certification systems in the interconnected global market but pointed out that “these measures present significant challenges for market actors, especially in developing countries where businesses may need to comply with divergent standards to access international markets.”

DG Okonjo-Iweala stressed the need to design new regulations carefully, ensuring that small producers in developing economies are integrated into global value chains rather than marginalized or excluded from the global market. She also emphasized the importance of developing robust traceability, verification and certification systems — often referred to as “quality infrastructure” — to bridge the information gap and reduce the costs of complying with regulations.

Business leaders from the coffee, cocoa and palm oil sectors, alongside representatives from certification organizations, stressed the importance of balancing strong environmental protection with the practical challenges of compliance.

They highlighted the need for clearer regulations, harmonized standards and aligned certification requirements to prevent confusion and reduce compliance costs. They also emphasized the importance of increased technical and financial support to help small producers navigate challenges and adapt to the evolving regulatory environment.

DG Okonjo-Iweala expressed her gratitude for the productive discussions, noting that they represented the first step toward continued dialogue in the future.

She said the key messages from today's meeting would be shared with relevant policymakers. At the same time, she encouraged the business community to identify the opportunities presented by the new regulations while addressing the associated challenges.

Looking ahead, the Director-General highlighted the critical need to address regulatory fragmentation. She emphasized that, in the long term, fostering stronger dialogue between policymakers and businesses is essential to ensure that new sustainability regulations “do not end up harming small farmers”.

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