Planned CSRD reporting: It could have been worse
Criticism taken up – bureaucracy remains a challenge
Berlin (ots)
The Federal Cabinet has approved a draft law to implement the EU Corporate Sustainability Reporting Directive (CSRD). Pharma Deutschland, the association with the largest number of members in the local pharmaceutical industry, is pleased that the Federal Government has taken up the criticism previously expressed by Pharma Deutschland regarding the interaction between the Supply Chain Act and sustainability reporting.
“The federal government has postponed the impending double burden of the Supply Chain Due Diligence Act and the Sustainability Reporting Act until December 31, 2025. This is good news for companies in Germany,” said Dorothee Brakmann, CEO of Pharma Deutschland. “Despite efforts to implement the EU requirements one-to-one without national tightening, the CSRD represents an additional bureaucratic and financial burden.”
The new obligations for sustainability reporting continue to pose significant challenges for the pharmaceutical industry. The effort required by companies is considerable. “The EU Commission and the Federal Government must not tighten the bureaucracy screw any further, otherwise there is a risk that valuable resources will have to be diverted from research and development in order to meet the ever-increasing reporting requirements,” explains Brakmann.
This will place a particularly heavy burden on medium-sized companies, which will gradually be subject to sustainability reporting obligations from 2025 onwards. This is particularly critical for an innovation-driven pharmaceutical industry.
“Our goal must be to reconcile sustainability and competitiveness,” Brakmann continued. “We therefore see sustainability reporting as an opportunity to make the pharmaceutical industry’s diverse achievements in this area transparent. But this must take place within a framework that maintains and promotes entrepreneurial ability to act.”
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Pharma Deutschland eV is the pharmaceutical industry association with the largest number of members in Germany. It represents the interests of around 400 member companies, which employ around 80,000 people in Germany. The companies organized in Pharma Deutschland eV make a significant contribution to securing the supply of pharmaceuticals in Germany. They provide almost 80 percent of the non-prescription drugs sold in pharmacies and almost two thirds of the prescription drugs as well as a large proportion of the medical products for patients. www.pharmadeutschland.de There is more information about Pharma Germany.