Politics · India · 6 hrs ago
India weighs supply-chain emissions checks for exporters
India’s finance and commerce ministries are discussing whether exporters should track supply-chain emissions for goods sold to all countries.
These indirect emissions, known as Scope 3, can come from activities such as transport, purchased materials and suppliers’ operations.
The discussion comes as trade partners tighten green requirements and supply chains connect businesses across borders.
Measuring Scope 3 is difficult, and a steel exporter says current emissions-data requirements are already challenging.
Niti Aayog has recommended phasing in any Scope 3 disclosure rules, starting with large companies in high-impact sectors to limit the burden on smaller businesses.
No decision has been made, while some Indian exporters in sectors including steel, aluminium and cement already face EU carbon border rules; the first annual declaration for 2026 imports is due by September 30, 2027.
India’s finance and commerce ministries are discussing whether exporters should track indirect supply-chain emissions for exports to all countries.
No decision has been taken on whether to require the disclosures.
The discussions concern Scope 3 emissions, which include emissions linked to suppliers, transport and other parts of a company’s value chain.
An EU steel exporter said collecting Scope 3 data would be unviable, while a Niti Aayog report recommends phasing in any disclosures.
The discussions come as trade partners tighten green requirements and global supply chains become more interconnected.
- Who
- India’s finance and commerce and industry ministries are discussing the issue, which concerns Indian exporters.
- What
- Whether exporters should measure Scope 3 emissions across their supply chains for exports to all countries.
- When
- Preliminary discussions have begun; no decision has been taken.
- Where
- India, in relation to exports to all countries.
- Why
- Trade partners are tightening green requirements and global value chains are interconnected.
Indian government official advocating consideration of wider measurement
Steel exporter to the EU
Scope of measurement
Indian government official advocating consideration of wider measurement
An official said measurement could not be limited to the EU because supply chains are linked across countries.
Steel exporter to the EU
The exporter said gathering Scope 3 data on electricity providers and transport would be unviable.
Compliance concerns
Indian government official advocating consideration of wider measurement
Niti Aayog recommends phasing in any Scope 3 disclosures, starting with large entities in high-impact sectors.
Steel exporter to the EU
The exporter said existing CBAM requirements are already challenging and that basic raw-material emissions data is lacking.
The EU CBAM central platform is scheduled to open for the sale of CBAM certificates.
Importers must submit their first annual CBAM declaration and surrender certificates covering all 2026 imports.
- Emissions under discussion
- Scope 3
- Markets covered by the proposal
- Exports to all countries
- Current CBAM-covered products
- Iron and steel, aluminium, cement, fertilisers, electricity and hydrogen products
- First CBAM declaration deadline
- September 30, 2027
- CBAM certificate sales begin
- February 1, 2027
What people are saying
There is one thought that measurement of Scope 3 emissions can't be done for the EU alone. It would have to do for all countries because the value chains are linked
The CBAM is already a challenge for us because we don't have basic data on our raw material emissions. Disclosures on Scope 2 are posing a problem, so adding Scope 3 emissions data on what is my electricity provider and transportation would be unviable