Case study on the implications for low- and middle-income countries of Organic Regulation (EU) 2018/848 in the Dominican Republic

Summary in the original language of the document

The report examines the impact of the new EU Organic Regulation (EU) 2018/848 on the Dominican Republic's agricultural exports, particularly cacao and bananas. The regulation mandates that producers in third countries comply with the same standards as EU producers, replacing the former equivalence system. This shift creates significant challenges for smallholder producer groups, including legal and organizational restructuring, higher certification costs, and increased administrative burdens. Many producer groups risk losing certification if they cannot meet the new criteria for Groups of Operators.
The study highlights that while the changes aim to enhance transparency and harmonize compliance, they disproportionately impact small producers. The banana sector faces particular difficulties due to high production costs and the new organic turnover limits for members in a group of operators, risking the exclusion of many medium-sized farms. The cacao sector also struggles with adaptation, especially among large associations with mixed organic and non-organic members.
To mitigate these challenges, the report recommends providing targeted support for adaptation, including financial aid, training, and legal guidance. It also emphasizes the need for stronger public-private collaboration, accessible regulatory guidance, and advocacy for flexibility in EU rules. Ensuring market access and sustainability for smallholder producers will require coordinated efforts from stakeholders in both the Dominican Republic and the EU.