The EU Deforestation Regulation (EUDR): What companies need to know<\/strong><\/h1><\/h1><\/div>The EU Deforestation Regulation<\/b> brings about sweeping changes and obligations for companies that market certain products within the EU or export them outside of the EU. The aim of this regulation is to reduce global deforestation rates by more strictly regulating the import and export of products that contribute to deforestation.<\/p>\n<\/div>Deforestation Regulation: What does the new regulation say?<\/b><\/h2><\/h2><\/div>The EU Deforestation Regulation<\/b> adopted on 31 May 2023 applies to companies that import or export commodities such as soy, palm oil, timber, rubber, cocoa, coffee and cattle, or products derived from them, into or out of the EU. These products are suspected of contributing to illegal deforestation and forest degradation. The regulation imposes strict due diligence requirements on companies to ensure that the products do not come from deforested areas.<\/p>\n<\/div>What does “deforestation-free” mean?<\/strong><\/h2><\/h2><\/div>According to the regulation, a raw material is considered to be deforestation-free if it does not come from areas that were deforested after 31 December 2020. Deforestation is defined as the conversion of forest areas into agricultural land.<\/p>\n
By contrast, timber products are considered deforestation-free as long as no forest damage has occurred on the affected areas after this date.<\/p>\n
The following applies to affected products: they are only considered deforestation-free if the raw materials, animal feed or components used can also be proven to have been produced without deforestation.<\/p>\n<\/div>
What are the obligations under the Deforestation Regulation?<\/b><\/h2><\/h2><\/div>The regulation forces companies to fully review and document their supply chains. A central element is the proof of the relevant products’ deforestation freedom. Companies must ensure that the products they use do not contribute to deforestation or forest degradation. This includes:<\/p>\n
\n- Due diligence:<\/b> Companies must prove that the products they place on the EU market are not linked to deforestation by means of a comprehensive due diligence process. This includes precise information on the origin of the products and evidence of sustainable cultivation or production methods.<\/li>\n
- Risk assessment and documentation:<\/b> Companies must conduct a risk assessment of their supply chains and document the results. Products identified as risky must not be imported into the EU.<\/li>\n
- Gathering information:<\/b> For most of the products concerned, information such as raw material, CN code, quantity, country of production and geolocation coordinates must be provided.<\/li>\n<\/ul>\n
The EU Deforestation Regulation<\/b> brings about sweeping changes and obligations for companies that market certain products within the EU or export them outside of the EU. The aim of this regulation is to reduce global deforestation rates by more strictly regulating the import and export of products that contribute to deforestation.<\/p>\n<\/div> The EU Deforestation Regulation<\/b> adopted on 31 May 2023 applies to companies that import or export commodities such as soy, palm oil, timber, rubber, cocoa, coffee and cattle, or products derived from them, into or out of the EU. These products are suspected of contributing to illegal deforestation and forest degradation. The regulation imposes strict due diligence requirements on companies to ensure that the products do not come from deforested areas.<\/p>\n<\/div> According to the regulation, a raw material is considered to be deforestation-free if it does not come from areas that were deforested after 31 December 2020. Deforestation is defined as the conversion of forest areas into agricultural land.<\/p>\n By contrast, timber products are considered deforestation-free as long as no forest damage has occurred on the affected areas after this date.<\/p>\n The following applies to affected products: they are only considered deforestation-free if the raw materials, animal feed or components used can also be proven to have been produced without deforestation.<\/p>\n<\/div> The regulation forces companies to fully review and document their supply chains. A central element is the proof of the relevant products’ deforestation freedom. Companies must ensure that the products they use do not contribute to deforestation or forest degradation. This includes:<\/p>\nDeforestation Regulation: What does the new regulation say?<\/b><\/h2><\/h2><\/div>
What does “deforestation-free” mean?<\/strong><\/h2><\/h2><\/div>
What are the obligations under the Deforestation Regulation?<\/b><\/h2><\/h2><\/div>
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