ERU, Alm.del - 2021-22 - Bilag 339: Orientering om dansk høringssvar vedrørende effektivt forbud mod produkter, der fremstilles, udvindes eller høstes ved tvangsarbejde, fra erhvervsministeren

Erhvervsudvalget 2021-22
ERU Alm.del Bilag 339
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Document ID: 8690162

Initialer-CHATHU

Danish Government response to the call for evidence regarding the in-

itiative “Effectively banning products produced,

extracted or har-

vested with forced labour”

The Danish Government finds that ending forced labour is an area of

great importance and the Danish Government is already promoting decent

work worldwide and supports the Commission’s objective with this initi-

ative.

Denmark finds that ending forced labour is an important part of the sus-

tainable transition, which is also underlined by the fact that ending forced

labour is a central part of the Sustainable Development Goals. While end-

ing forced labour is a matter of great significance it is also a complex

challenge.

Forced labour may occur deep down a company’s value chain

and might happen in third countries not subject to the same regulation as

companies in the EU. Moreover, it is difficult to assess whether a product

itself has been produced, extracted, or harvested with forced labour, as

the product itself does not carry signs indicating the use of forced labour.

This means that the regulation should be clear for businesses and be fol-

lowed by guidance and tools for companies to support the implementa-

tion of the ban.

While welcoming the initiative the Danish Government would also like to

note the following considerations:

•

assess and address market surveillance challenges;

•

ensure consistency with other EU-legislation and the rules of the

World Trade Organization;

•

have a due legislative process that will allow for a solid legal foun-

dation.

Market surveillance challenges

It is expected that control of products that are produced, extracted, or har-

vested under certain conditions will fall under the jurisdiction of market

surveillance authorities. However, there are several unanswered questions

regarding such product controls. In terms of the wording used in the call

for evidence, it is expected that the control implies an extensive market

surveillance

of selected products’ value chains. This would be a control

competence currently not present in the Danish market surveillance sys-

tem. Hence, it will be important to assess the market surveillance chal-

lenges this initiative will pose, to be able to address possible inconsisten-

cies and choose the most effective and efficient approach.

ERU, Alm.del - 2021-22 - Bilag 339: Orientering om dansk høringssvar vedrørende effektivt forbud mod produkter, der fremstilles, udvindes eller høstes ved tvangsarbejde, fra erhvervsministeren

Consistency with other EU-legislation and the rules of the World

Trade Organization

To ensure an effective and efficient ban, while avoiding double regula-

tion, the Commission should work to ensure consistency with existing

and upcoming EU-legislation such as the proposal on a Corporate Sus-

tainability Due Diligence Directive (CSDDD). We understand that the in-

itiatives are aimed at supplementing each other, while they do to a large

extend have the same objective. We would recommend the Commission

to perform a thorough gap analysis, to ensure that this additional initiative

adds value and only addresses the problems not already addressed by for

example the CSDDD or the Corporate Sustainability Reporting Directive.

Moreover, the initiative should be developed in accordance with the rules

of the World Trade Organization.

Due legislative process

Due to the importance and complex nature of the initiative, the Danish

Government finds that the initiative should adhere to the better regulation

principles, and hence an impact assessment should be provided.

The Danish Government acknowledges the sensitivity of the proposal and

supports the Commission’s assessment of the need to act on

the matter.

However, we find it difficult to support the Commission’s current choice

to exempt itself from providing an impact assessment as well as from

publishing a public consultation, and instead opting for only a

targeted

consultation. As the proposal aims at solving structural problems in com-

panies complex value chains and will have significant long-term implica-

tions, the initiative calls for a solid legislative process to ensure that we

do in fact achieve the laudable objectives of the initiative.

We stand at your disposal for further elaboration.