The year is 1813. The British parliament has passed the East India Company Act, which ends the company’s monopoly over trade with India and opens it up to merchants outside London and the Company. The legislation encouraged textile manufacturers to export goods to the Indian market, which led to Indian craftsmen competing with machine-made goods and in the long run, resulted in the elimination of the Indian cotton industry.
Cut to 2024. The European parliament has passed the Corporate Sustainability Due Diligence Directive (CSDDD), a year after another environmental regulation, the Carbon Border Adjustment Mechanism (CBAM) came into force. The two are similar, yet distinct. Both aim to encourage global standards and affect supply chains in different ways.
CBAM, as part of Europe’s “green deal” initiatives, is already a bone of contention between the European Union (EU) and developing countries in Africa and Asia, with the latter accusing the EU of using environmental issues as a cover for trade protectionism. In India industry experts feel that the onus of net-zero ambitions should not fall on developing economies which need practical and equitable emission targets to continue on their growth trajectory.
Though these are still early days of CSDDD there are apprehensions that its consequences will be like that of CBAM.
New Laws of Nature
The CSDDD came into force on July 25, establishing mandatory human rights and environmental obligations for companies’ operations and supply chains and aiming to ensure that businesses are accountable for the impact at each point of their value chain. The regulation extends to the EU as well as non-EU companies that have an annual turnover of €450mn in the EU.
This story is from the October 2024 edition of Outlook Business.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the October 2024 edition of Outlook Business.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
'Automation is Redefining Efficiency and Precision in Jewellery Manufacturing'
Increasing brand consciousness and awareness among consumers is helping expand the organised jewellery retail industry. MP Ahammed, chairman of Malabar Group, discusses prominent trends in the jewellery industry
BATTLE TO WIN THE AI RACE
In Supremacy, Parmy Olson tells the astonishing and behind-the-scenes story of the battle between the world’s two leading artificial intelligence firms, OpenAl and DeepMind and the continuing rivalry of its founders Sam Altman and Demis Hassabis respectively
A LEADER WHO EMPOWERS
Anshul Arzare, MD and CEO of YES SECURITIES, wants to ensure a workplace where employees not only contribute to the company's vision but also feel content
EV Unplugged
Electric vehicles are crucial to India’s climate change plan. But reliance on China for imports and technology constraints remain hurdles the sector needs to overcome
Every Lamborghini Owner is a Brand Ambassador
Regional director of Automobili Lamborghini, Francesco Scardaoni, talks to Prachi Khanna about the brand’s approach to fostering a sense of community among its vehicle owners. Edited excerpts
NO ZEST FOR ZED
A government initiative to green MSMEs is not finding enough takers
SMALL PLANTS, BIG TROUBLE
Climate-triggered stress is placing an unprecedented burden on small businesses. But a lack of access to climate aid hinders the sector's ability to adopt greener methods
'We Think About the Rider More Than Any Other Company
Rapido co-founder Aravind Sanka talks to Neeraj Thakur and Deepsekhar Choudhury about how flexibility and fair pay helped his company disrupt the Ola-Uber duopoly. Edited excerpts
LABOUR PANGS
Rising cost of living in a fast-growing economy is making workers restless
'Hustle is No Virtue'
It has become fashionable to talk about the verb “hustle” these days, especially in professional settings.
