An Update on Hot Topics from the EU
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1 An Update on Hot Topics from the EU Athens - 06 March 2018
2 Cosme9cs Europe Corporate Members
3 Na9onal Associa9ons Austria -FCIO Belgium -DETIC Bulgaria - BNAEOPC Czech Republic - CSZV Denmark -SPT Estonia - FECI Finland - TY France - FEBEA Germany - IKW Greece - PSVAK Hungary - KOZMOS Ireland - ICDA Italy COSMETICA ITALIA Latvia - LAKIFA Lithuania - LIKOCHEMA Luxembourg - DETIC Netherlands - NCV Norway KLF Poland - PACHCP Poland - PUCI Portugal - AIC Romania - RUCODEM Russia - APCoHM Russia - PCAR Serbia - KOZMODET Slovakia -SZZV Slovenia - KPC Spain -STANPA Sweden - KTF Switzerland - SKW Turkey - KTSD United Kingdom -CTPA
4 Cosme9cs is a key European industry
5
6 The Industry supports millions of jobs throughout the European value chain.
7 SMEs are key drivers of innova9on and economic growth in the industry.
8 Current and Future Trends in Regula9on General Trends: Ø While the Commission has been suppor<ve of the risk based approach in the Regula<on, we see some tendency among EU Member States towards hazard approaches; Ø We see an increase in awareness of environmental implica<ons of cosme<cs ingredients.
9 Some Current Hot topics Microplas9cs: Ø The Commission has ini<ated a REACH restric<on process for inten<onally added microplas<cs; Ø The possible Restric<on will cover all sectors; Ø Cosme<cs Europe s aim is to limit the scope of any restric<on to that of our voluntary ac<on (microbeads used for exfolia<ng and cleansing in rinse off products). Ø A broad scope ban would have hugely dispropor<onate consequences for our sector.
10 Some Current Hot Topics Lisbonisa9on: Ø Lisbonisa<on is the adapta<on of the Cosme<cs Regula<on to the Lisbon Treaty; Ø Some Member States have taken the opportunity presented by this process to demand that some aspects of the Regula<on (such as adapta<on of the annexes) are dealt with by the ordinary legisla<ve procedure of the EU, rather than through an expert commivee. Ø This is indica<ve of the stress on hazard that we are seeing, and perhaps a distrust of the Commission to handle safety concerns appropriately; Ø Latest news is that Member States have expressed preference for the status quo for the <me being but likely challenges when the Regula<on is next revised.
11 Some Current Hot topics Endocrine disruptors: Ø This issue in general has a very high profile in the European debate; Ø Some NGOs and consumer associa<ons, and indeed some Member States, favour a special approach to endocrine disruptors in the Cosme<cs Regula<on; Ø The Commission is due to issue a Report on this issue at any <me (the Report has been severely delayed); Ø This issue will challenge the acceptability of risk assessment and management approaches within the current regula<on.
12 What is coming next Ø Some form of microplas<cs ban is inevitable; Ø The Cosme<cs Regula<on will need to be revised at some <me in the coming years; Ø Endocrine disruptors, CMR substances, nanomaterials, and alleged loopholes in the animal tes<ng ban will be on the agenda; Ø Outside the Cosme<cs Regula<on, environmental ingredients are likely to be a growing concern.
13 Some challenges and some opportuni9es (1) Ø In general the industry is doing well, par<cularly in premium products, travel retail and Asian markets; Ø There is also a growing recogni<on that cosme<cs and personal care are a full part wellness and quality of life, and bring clear and dis<nct benefits; Ø We are adap<ng posi<vely to the so called retail revolu<on and evolving demographics;
14 Some challenges and some opportuni9es (2) However: Ø Ethical consump<on is a rising phenomenon,and the industry needs to respond to this challenge; Ø Ingredients remain a persistent and growing challenge, par<cularly in the environmental area and in product preserva<on. The Cosme<cs Europe Product Preserva<on programme is will avempt to address the problem of the shrinking preserva<ve paleve; Ø The dri^ towards hazard based approaches is a major threat
15 Brexit (1) Ø The precise consequences of Brexit are unclear at this stage, because of UK government indecision; Ø On a worst case hard Brexit scenario, customs checks will need to be imposed for exports/imports, a few products may be affected by tariffs; Ø In a hard Brexit, official government forecasts predict a significant nega<ve effect on UK growth, possibly reducing the demand for imports;
16 Brexit (2) Ø However if regulatory alignment is agreed import/export would at least be easier; Ø Regulatory alignment is the preference of the majority of the business sector in the UK; Ø Last week, UK government indicated preference for regulatory alignment for chemicals not clear if this cover cosme<cs! Ø However, EU will not accept par<al regulatory alignment ( cake and eat it ) Ø UK government may not survive bavle over regulatory alignment.. Ø Overall the storm on Brexit is just beginning
17 REACH: the 31 May 2018 registra9on deadline Ø What needs to be registered: exis<ng substances manufactured or imported in quan<<es between 1 and 100 tonnes per legal en<ty per year Ø By whom: manufacturers or importers of such substances Ø When: before 31 May 2018 Ø Cri9cal for cosme9c product manufacturers: to ascertain with their suppliers that their key cosme<c ingredients are registered before the deadline OR to iden<fy alterna<ve ingredients or sources of supply (as per the CE Informa1on & Guidance Note to Members, July 2015 and October 2016) Ø Companies needing help can obtain informa<on via: ECHA s REACH 2018 page: hvp://echa.europa.eu/reach-2018 Na<onal helpdesk: hvp://echa.europa.eu/support/helpdesks
18 Thank You
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