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BRUSSELS - The European Commission has unveiled its proposals to introduce mandatory due diligence legislation which would make companies responsible for human rights and environmental issues in their global supply chains.

The law would initially apply to larger companies within the European Union (EU) with more than 500 employees and a global net turnover of more than €150 million (US$169m), and those based outside the EU but which generate the same turnover threshold within the single market.

After two years, it would be extended to smaller companies - with at least 250 employees and a turnover of €40 million (US$45m) - in "high impact sectors" including textiles, as well as agriculture and mining.

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