Press Release: New EU Packaging Rules Exclude Small Businesses from the Single Market

The Malta Chamber of SMEs is raising serious concerns over the impact of the new EU Packaging and Packaging Waste Regulation specifically on the provisions which became applicable on 12 August 2026.

The new EU packaging rules require businesses placing packaged products on another Member State’s market to comply with that country’s Extended Producer Responsibility requirements, which can include registration, reporting, payment of EPR fees and, in certain cases, appointing an authorised representative.

Particularly for Maltese micro and small businesses trading across the European Single Market, this regulation is disproportionate; going directing against the European Union’s think small first principle adopted under the Small Business Act for Europe in 2008.

The SME Chamber fully supports the environmental objectives behind the Regulation. However, the new cross-border Extended Producer Responsibility (EPR) obligations have created disproportionate administrative and financial burdens for small businesses, shipping to other EU countries in small numbers.

For Maltese businesses, this issue is particularly serious. Unlike businesses operating in much larger Member States, Maltese SMEs cannot rely on a large domestic market to grow. Access to the Single Market is therefore essential, not optional.

Requirements linked to registrations, reporting, producer responsibility schemes and, in certain cases appoint authorised representatives in different Member States, translates into significant fixed costs. For a large multinational these costs may be relatively minor. For a Maltese micro-business selling limited quantities across several EU countries, they will make cross-border trade commercially unviable and unsustainable.

SME Chamber President Mr. Paul Abela stated that ‘Environmental responsibility must not come at the cost of pushing Europe’s smallest businesses out of the Single Market.’

The Single Market cannot become 27 separate compliance markets. The Malta Chamber of SMEs is also concerned about the competitive position of Maltese retailers. Local businesses already face higher logistics, transport and operational costs, due to our insularity, while increasingly competing with large international online platforms and non-EU sellers. Local low volume suppliers have already been constrained to suspend all online sales to EU countries due to this legislation, putting at risk their business and livelihood.

The Malta Chamber of SMEs is therefore calling for greater proportionality, including simplified EU-wide registration and reporting, meaningful thresholds for micro and low-volume businesses, and stronger enforcement on non-EU sellers and online platforms. The Malta Chamber of SMEs is concerned that requiring a very small business to establish different EPR compliance arrangements across several European countries could discourage that business from selling cross-border altogether.

In this regard, the SME Chamber is calling the European Commission and the European parliament to;

  • Stop all specific EPR fines and cross-border registration requirements and mandatory third-party “Authorized Representatives” fees for micro-businesses effective immediately while legislation is being reformed;

 

  • EU-wide de minimis threshold: Completely exempting small-volume sellers and micro-enterprises from cross-border packaging bureaucracy, which full destination country registration is not required;

 

  • Establish a single electronic declaration for remaining SMEs through the SMEs Member State of establishment identifying quantities exported to each member state;

 

  • Mutual recognition /data exchange between National Registers, so that the destination Authority can verify the declaration without imposing a separate registration bureaucracy on the SME.

Malta Chamber of SMEs calls for a long-term business resilience framework following power outage

The Malta Chamber of SMEs acknowledges the significant investment and continuous efforts undertaken over recent years to strengthen Malta’s electricity distribution network. It is evident that substantial work has been carried out to modernise infrastructure, improve resilience and respond to the increasing demand placed on the national grid.

At the same time, the recent power outages experienced across multiple localities once again highlight the importance of ensuring that national infrastructure continues to evolve in line with Malta’s economic and demographic growth. As the country’s population, business activity and energy demand continue to increase, investment in critical infrastructure must remain a national priority.

For many businesses, particularly SMEs, power outages are far more than a temporary inconvenience. They result in interrupted operations, lost sales, damaged stock, cancelled appointments, disrupted production schedules, business productivity level and additional operational costs. In such cases Interruptions can have significant financial consequences and impact customer confidence. Furthermore, employees turning up for work after sleepless nights, with some handling heavy machinery, does not help the business function safely and efficiently.

Rather than focusing solely on the causes of individual incidents, the SME Chamber believes the discussion should now evolve towards strengthening Malta’s long-term resilience while ensuring that businesses are better protected when unforeseen disruptions occur.

The Malta Chamber of SMEs is proposing the establishment of a structured Business Continuity Compensation Mechanism that would automatically come into effect following electricity disruptions that exceed clearly established thresholds.

Such a mechanism should provide businesses with a transparent, predictable and efficient means of obtaining compensation for losses directly attributable to prolonged power outages, without requiring adhoc processes that could themselves cause further stress and loss of productivity.

Importantly, the SME Chamber believes that such a mechanism should complement the continued investment in Malta’s electricity infrastructure. Compensation should never be viewed as an alternative to infrastructure investment. Rather, both should form part of a comprehensive national strategy that seeks to minimise disruptions while ensuring that businesses are not left to shoulder the financial burden when exceptional events occur.

Businesses understand that no electricity distribution network can ever be entirely immune from unexpected failures. However, modern economies require systems that not only reduce the likelihood of disruptions but also provide fair and timely support when they occur.

The Malta Chamber of SMEs remains committed to working constructively with Government, Enemalta and all relevant stakeholders to develop practical, forward-looking solutions that strengthen Malta’s infrastructure, enhance business resilience and safeguard the competitiveness of the country’s enterprises.

SME Chamber President participates during ITS Strategic Plan 2026-2030 launch

The President of the Malta Chamber of SMEs, Mr Paul Abela, participated in a panel discussion during the launch of the Institute Of Tourism Studies – ITS Strategic Plan 2026–2030: From Consolidation to Mediterranean Excellence.

The discussion focused on the future of Malta’s tourism and hospitality industry, highlighting the importance of strengthening collaboration between education and industry, developing the skills required for tomorrow’s workforce, embracing innovation, and ensuring the sector remains competitive and sustainable.

The Malta Chamber of SMEs remains committed to working closely with ITS and all stakeholders to help shape a skilled workforce that supports the continued growth and success of Malta’s tourism and hospitality sectors.

The new Energy Performance Assessment Scheme – An Opportunity for SMEs to Reduce Costs and Improve Competitiveness

In a typical businessman’s mind the words energy audit, trigger the dread of inspections, paperwork and unnecessary administrative work. In reality, an energy audit a practical business tool that could help identify where and how energy is being used, where it could possibly be wasted, and where improvements can be made which should result in reducing operating costs.

This was one of the key messages that emerged during a recent panel discussion organised by the Energy and Water Agency, during which the new Energy Performance Assessment Scheme was launched. The Malta Chamber of SMEs was part of this panel discussion. Through the new scheme businesses with average energy consumption may benefit from a free service that includes on-site visits by qualified professionals, tailored recommendations, and follow-up support where required. Businesses within the higher consumption brackets may make use of financial incentives towards the cost of carrying out a professional assessment. In this context, it is important to note that energy consumption includes fuel used for transportation or otherwise.

One of the most important observations made during the discussion was that the term SME covers an incredibly diverse range of businesses. A manufacturing company, a hotel or a supermarket will naturally have a very different energy profile from a neighbourhood retailer, a small professional office, a hairdresser or a mobile phone repair shop. While all businesses can benefit from using energy more efficiently, the potential savings and the type of recommendations will vary considerably.

For businesses with significant energy consumption, energy audits can identify opportunities that lead to substantial reductions in operating costs. For smaller businesses, the recommendations may be simpler and more focused on improving day-to-day efficiency rather than a major capital investment.

One of the strongest conclusions from the discussion was that the success of an energy audit should not be measured by the report that is produced. The real measure of success is what happens afterwards. An energy audit may identify opportunities to improve lighting, replace ageing air-conditioning systems, optimise equipment or introduce better operating practices. However, these recommendations only deliver value if they are implemented and this is often a considerable challenge for SMEs, especially micros.

Business owners make investment decisions every day, balancing limited financial resources against many competing priorities. Investing in new equipment, upgrading technology, expanding premises, recruiting staff or purchasing stock all compete with energy efficiency projects and admittedly, the lattrr are not at the top of the list.

On the other hand, this does not mean that businesses are unwilling to invest in reducing energy consumption. Rather, it reflects the reality that every investment decision must be considered alongside the many other demands placed on a growing business. Many small businesses already make improvements that result in energy efficiency by default. When equipment, lighting, air conditioning and so on fail, most enterprises replace them with today’s energy efficient models.

One message that resonated throughout the discussion was that recommendations need to be practical, realistic and prioritised. Business owners are not necessarily looking for the longest or most technical report. They need clear guidance such as What should we do first?, How much will it cost? How much can we expect to save? How long will it take to recover the investment? Assessors need to speak in terms that business people understand like competitive advantage, cost, return, risk and payback as opposed to using terms like kWh, efficiency, load factors and COP.

From the Chamber’s perspective, the objective is clear. Energy performance assessments should help businesses make informed decisions, reduce unnecessary operating costs and improve long-term resilience. Whether a business is large or small, every euro saved through greater efficiency is a euro that can be invested back into the business.

Article by Mr Marcel Mizzi – Officer

Malta Chamber of SMEs discusses key SME issues with European Commissioner

Mr Philip Fenech, on behalf of the Malta Chamber of SMEs, met with Mr Michael McGrath, European Commissioner for Democracy, Justice, the Rule of Law and Consumer Protection, during a meeting organised by MCESD – Malta Council for Economic and Social Development

The discussion focused on matters of importance to Malta’s SMEs, including consumer protection, the regulatory environment, and the challenges and opportunities facing small businesses at both the national and European levels.

The Malta Chamber of SMEs remains committed to ensuring that the voice of Maltese SMEs is represented in discussions that shape future European policies.

Malta Chamber of SMEs Council Member and President of the The Gozo Business Chamber mR Michael Galea was also present.

Malta Chamber of SMEs President discusses collaboration opportunities with Australian High Commissioner

 The Malta Chamber of SMEs President, Mr Paul Abela, met with the Australian High Commissioner to Malta, H.E. Matt Skelly, to discuss potential collaboration opportunities between both countries. 
 
They discussed the strong relations between Malta and Australia and the significant business potential, particularly in view of the upcoming EU–Australia Free Trade Agreement.
 
This initial meeting marks the beginning of what is expected to develop into a meaningful and productive collaboration.

Malta Chamber of SMEs, WEAVE consulting and Gonzi & Associates organises a practical workshop on Pay Transparency

The Malta Chamber of SMEs organised an engaging workshop on Pay Transparency in collaboration with Weave Consulting and legal partners Gonzi & Associates.

During the session, Dr Roberta Lepre from Weave Consulting provided participants with a practical and strategic approach to pay transparency, while Dr Katrina Portelli shared valuable legal insights into the pay transparency framework, outlining key considerations for employers and the compliance requirements stemming from the EU Directive.

The workshop offered participants a deeper understanding of why pay transparency matters beyond mere compliance. Company representatives also had the opportunity to exchange ideas, share experiences, and discuss the next steps in preparing their organisations for the upcoming changes.

Following the successful in-person workshop on Pay Transparency, and due to the limited number of places available, the Malta Chamber of SMEs, in collaboration with Weave Consulting and Gonzi & Associates, will be organising an additional online workshop for those who were unable to attend or secure a place.

The online workshop will take place online on Tuesday 28th July at 11:30am. Click here to register: https://sme-chamber-mt.odoo.com/event/online-workshop-pay-transparency-from-legal-obligation-to-strategic-advantage-111/register#scrollTop=0

Malta Chamber of SMEs hosts successful business delegation visit from Tunisia

The Malta Chamber of SMEs recently welcomed a high-level business delegation from Tunisia, organising a B2B networking event that brought together Maltese and Tunisian enterprises to explore new opportunities for cooperation and trade.

The event, held at Malta Enterprise, was organised in collaboration with the Tunisian Chamber of Commerce and Industry and aimed to further strengthen commercial relations between the two countries while encouraging new areas of business collaboration.

During the opening session, the Malta Chamber of SMEs COO, Mr Andrew Aquilina, highlighted the importance of building stronger economic and business ties between Malta and Tunisia. The President of the Tunisian Chamber of Commerce and Industry, Mr Nejib Mellouli, also addressed participants, emphasising the value of cross-border collaboration and the potential for future partnerships.

As part of the official programme for the Tunisian delegation’s visit to Malta, additional meetings were held with Malta Enterprise and TradeMalta, as well as a dedicated session with Malta Freeport Terminals. These engagements provided further insight into Malta’s business ecosystem and investment opportunities.

The programme also included a reception hosted by the Tunisian Ambassador to Malta, H.E. Zouheir Bouras, further strengthening diplomatic and commercial relations between the two countries.

The Malta Chamber of SMEs looks forward to continuing to build on this positive momentum, strengthening bilateral relations and creating new opportunities for businesses in Malta and Tunisia.

  

 

SME Chamber as part of MCESD holds first meeting of this legislature with Prime Minister Robert Abela

The Malta Chamber of SMEs as part of Malta Council for Economic and Social Development (MCESD) held its first meeting of this legislature yesterday with Prime Minister Robert Abela.

During the meeting, the Government outlined a number of key targets for the current legislature. One of its main objectives is to improve the country’s overall wellbeing by 25%.

Other targets include reducing public debt from 46% to 40% of GDP by 2030, maintaining one of the lowest unemployment rates in the eurozone, and increasing the proportion of businesses using artificial intelligence to 40%. Currently, around 30% of workers use AI tools in their jobs.

The Minister responsible for Social Dialogue, Keith Azzopardi Tanti, Minister Omar Farrugia, and other Government officials were also present.

Malta Chamber of SMEs
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