What is the goal of the EUDR?
The EU Regulation on Products Free from Deforestation (EUDR) is an initiative, approved in 2023, aimed at halting deforestation linked to products consumed in the European Union market.
Who does it apply to?
It applies to the import and marketing of products such as palm oil, soy, timber, coffee, cocoa, rubber, and beef, as well as certain derivative products, ensuring that these supply chains do not contribute to deforestation or forest degradation.
How can companies prepare?
Preparing for compliance with the EUDR requires a strategic and proactive approach, which includes the following actions:
- Map the supply chain: identify all steps and suppliers, ensuring traceability of products from their origin.
- Implement Due Diligence systems: assess and mitigate deforestation risks associated with marketed products.
- Form internal teams and engage partners: ensure that all stakeholders understand and comply with the EUDR requirements.
- Invest in monitoring technologies: adopt tools that allow real-time compliance checks.
- Collaborate sector-wide: participate in collective initiatives to share best practices and enhance efficiency in implementing the new standards.
What deadlines should you be aware of?
The EUDR has recently been delayed in its implementation. Initially scheduled to come into force on December 30, 2024, the new dates are:
- December 30, 2025: Application for large companies.
- June 30, 2026: Application for micro and small companies.
This additional time provides an opportunity for companies to strengthen their sustainability strategies, align with regulatory requirements, and respond to the expectations of consumers and investors increasingly aware of the environmental impact of their choices.
However, companies that prepare for EUDR compliance now will mitigate the risk of penalties and position their brand as a leader in the transition to a more sustainable and responsible economy.
