In a report released in October 2007, the Swedish chemicals inspectorate (KemI) advises firms developing nanotechnologies to take a precautionary approach. Considered one of the most robust chemical regulators in Europe, the agency says that "Companies should apply special precautions in the development and use of nanomaterials".

According to Ethel Forsberg, Director-General of KemI: “The combination of the rapid development in the area of nanotechnology and the lack of knowledge concerning the risks to humans and the environment is worrying. A strategy for nanotechnology, which includes research on health and environmental risks, needs to be devised without delay”.

Moreover, governments will need to "complement the EU regulatory framework for nanomaterials" including on the way companies must test for health and environmental effects. Although nanomaterials are covered by the EU REACH chemicals legislation, KemI says many nanomaterials used in finished products will fall through the chemical safety assessment net.

The Agency proposes to hold a conference during Sweden’s 2009 EU presidency on how legislation should deal with nanotech.

KemI Director Ethel Forsberg was one of the several candidates for the new European chemicals agency, but the European Commission failed to include her in a short list given to the agency’s management board.

A copy of the report entitled "Nanotechnology - large risks with tiny particles?" is available on the KemI website.