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Reuters Germany, EU States See Chemicals Pact in December

Date: 30-Nov-05
Country: BELGIUM
Author: Jeff Mason

Britain, current holder of the EU presidency, said it expected a deal at another meeting of EU competitiveness ministers on Dec. 13.

Germany, home to Europe's largest chemicals industry, said it was optimistic that a deal could be reached then.

"There certainly wasn't total opposition from Germany," said British Trade and Industry Secretary Alan Johnson after a meeting of the ministers in Brussels. "They continue to support the push for political agreement on Dec. 13."

He said other member states were eager to take a decision on the legislation in December as well. A deal had been scheduled for Tuesday, but Germany requested a delay to give its new government time to formulate a position on the complex law.

"Everyone is confident that we can come to a close of the negotiations on Dec. 13," German Environment Minister Sigmar Gabriel told reporters.

The European Parliament earlier this month voted in favour of an amended bill on Registration, Evaluation and Authorisation of Chemicals (REACH), which would make companies prove that substances in everyday products such as cars or paint are safe.

The properties of roughly 30,000 chemicals produced or imported in the European Union would have to be registered with a central agency. Those of highest concern, such as carcinogens, would require testing and authorisation to be used.

Johnson said ministers had agreed on issues related to the registration requirements in the bill.

But authorisation rules are still divisive. Some states favour mandatory substitution of safe substances for dangerous ones when alternatives are available -- in line with Parliament -- while others favour allowing dangerous chemicals to be used if their risks can be adequately controlled.

Germany, with corporate giants including BASF and Bayer, was against five-year limits to authorisations, which was supported in the Parliament, Gabriel said.

The Parliament backed amendments that reduced the number of chemicals requiring testing but also supported others that would force firms to substitute safe chemicals for hazardous ones when alternatives are available.

The European Commission, original author of REACH, forecasts it will cost the chemical industry 2.3 billion euros ($2.7 billion) over 11 years. Total costs to industry -- including sectors such as metals, textiles, electronics and cars -- are estimated between 2.8 billion and 5.2 billion euros.

The United States and African nations have said REACH would disrupt trade and hurt their industries.

(additional reporting by Carsten Lietz)

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