What is the EUDR Regulation?
The EU Deforestation Regulation (EUDR), officially known as Regulation EU 2023/1115, was introduced in 2023 to address global deforestation and forest degradation. It targets key goods imported into the EU, ensuring that products like palm oil, timber, soy, cocoa, coffee, and beef sold in the EU market are not linked to deforestation. This regulation aims to tackle one of the main drivers of climate change and biodiversity loss.
Companies are required to conduct due diligence, tracing the origins of these products to confirm they are not sourced from land deforested after December 31, 2020. Large businesses must comply by December 30, 2024, while small and micro businesses have until June 30, 2025, to adapt.
EUDR Regulation: Helpful Links
Below, we share some links and documents that can assist you in properly understanding the Regulation:
Request for urgent procedure (rule 170) - Deforestation Regulation: provisions relating to the date of application
Guidance on EU Deforestation Regulation
The Deforestation Due Diligence Registry
EUDR - Myths vs. Reality - Debunking myths around the EU Deforestation Regulation
Latest Updates
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November 20, 2024 – EU deforestation regulation: Council reconfirms its agreement to extend application timeline
The Council firmly reiterated its support to the proposed targeted amendment of the EU deforestation regulation, postponing its date of application by 12 months. This approach is seen as the most effective way to ensure legal certainty for all stakeholders. Next, the Council will communicate its position to the European Parliament to initiate negotiations. The goal is to achieve formal adoption of the regulation by both co-legislators and ensure its publication in the Official Journal of the EU, allowing it to enter into force by the end of the year.
Press release
November 14, 2024 – The European Parliament Plenary Approves a One-Year Delay for the EUDR Regulation’s Application Date
One month after the EU Council's approval, the European Parliament has also confirmed a one-year delay for the application of the EUDR regulation, with 371 votes in favor, 240 against, and 30 abstentions. Under the revised timeline, large operators and traders will need to comply by December 30, 2025, while micro and small enterprises have until June 30, 2026. Among the approved amendments is the introduction of a “no-risk” category for countries with minimal or no deforestation risk, which will face less stringent requirements compared to the existing “low,” “standard,” and “high” risk categories. Amendments proposing a two-year delay and changes to trader obligations were withdrawn before the vote. The Parliament has also launched interinstitutional negotiations with the Council, which adopted the original text as proposed by the Commission. Once an agreement is reached, the final text will need approval from both institutions and will take effect three days after being published in the EU Official Journal.
Press release
October 16, 2024 – EUDR Regulation: Council Approves Extension of Implementation Deadline
The EU Council has agreed to postpone the application of the deforestation regulation by 12 months, giving third countries, member states, operators, and traders more time to prepare. If approved by the Parliament, the new deadlines will be: December 30, 2025, for large operators and traders, and June 30, 2026, for micro and small enterprises.
Press release
October 14, 2024 – European Parliament's Committee on Environment, Public Health and Food Safety meeting
Today, October 14th, the European Parliament's Committee on Environment, Public Health and Food Safety has met to discuss the delay in the enforcement of the EU Deforestation Regulation (EUDR). Despite some criticism about the potential weakening of the regulation, the majority of the committee, after facing significant opposition, expressed overall support for the extension, postponing enforcement to December 2025 for large companies and June 2026 for SMEs. The European Commission emphasized that the delay aims to ease compliance without compromising environmental goals. However, no updates are available yet on when the European Parliament and Council will vote.
Watch the video
October 2, 2024 – A Possible 12-Month Extension?
The European Commission has proposed a 12-month delay in enforcing the EU Deforestation Regulation (EUDR) in response to concerns raised by global partners and some European stakeholders. This would mean that large companies would need to comply by December 30, 2025, while small and micro businesses would have until June 30, 2026. To support this transition, the Commission has also issued new guidelines to ease the implementation of the regulation and introduced a framework for international cooperation. Additionally, the IT system for due diligence declarations, designed to ensure a smooth shift to zero-deforestation supply chains, will be operational by December 2024.
How was the extension granted?
The decision to extend the implementation timeline stemmed from feedback received from global partners during events like the United Nations General Assembly in New York, where concerns were raised about the state of preparedness for compliance with the new regulations. Within Europe, the situation is also uneven. While many stakeholders are ready for implementation, others have highlighted the need for more time. The European Commission acknowledged that the EU Deforestation Regulation (EUDR) is an innovative and complex initiative, involving a wide range of international actors, which justified the extension to ensure a smooth transition.
Release of Additional Guidance Documents
In addition to the extension, the European Commission has published new guidance documents to clarify key aspects of the EUDR and facilitate compliance. These include details on the information system, updates on penalties, and explanations of critical terms such as "forest degradation" and "placing on the market." The aim is to ensure a uniform interpretation of the regulation, helping both companies and authorities apply the new rules effectively.
Country Classification Principles Based on Deforestation Risk
Another significant update is the introduction of a methodology for classifying countries by their risk of contributing to deforestation. The European Commission has outlined a system that categorizes countries into three risk levels: low, standard, and high. This classification will allow greater focus on high-risk countries, while most will likely fall into the low-risk category, simplifying due diligence procedures for businesses operating in those regions.
Information System Fully Operational by December 2024
The IT system designed to handle companies' due diligence declarations is nearing completion and will be fully operational by December 2024. Developed with input from over 250 private stakeholders, this system will enable businesses to start submitting their declarations before the regulation officially takes effect, ensuring a smoother transition.
International Cooperation and Strategic Framework for a Fair Transition
The European Commission has emphasized the crucial role of international cooperation in the successful implementation of the EUDR. A strategic framework has been introduced to support a fair transition towards zero-deforestation agricultural supply chains. This framework is grounded in a human rights-based approach and aims to foster ongoing dialogue with international partners, ensuring that no global actor is left behind during the transition.
Awaiting Approval
The Commission is now calling on the European Parliament and the Council to approve the extension by the end of the year. This would ensure that the conditions are in place for the regulation's proper enforcement starting in 2025.
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