Brussels, October 10, 2024 — The European Union (EU) has announced a significant delay in the implementation of its highly anticipated regulation aimed at curbing deforestation linked to imported goods. The European Deforestation Regulation (EUDR), which was initially scheduled to come into force in 2024, will now be delayed until December 30, 2025. This postponement comes amid growing concerns from stakeholders about the feasibility of compliance and the preparedness of supply chains.
The EUDR is a key part of the EU’s broader Green Deal, targeting products such as soy, palm oil, cocoa, and beef, whose production is linked to deforestation, particularly in tropical regions. Under the regulation, companies importing these goods into the EU will need to prove that their supply chains are free from deforestation after 2020. The delay provides more time for both businesses and governments in exporting countries to adapt to the stringent new requirements.
Industry Concerns and Compliance Challenges
The postponement follows intense lobbying from industries and trade partners who raised concerns about the complexity and costs of compliance. Many argued that their supply chains were not yet fully equipped to trace products back to the source with the level of detail the EUDR demands. As a result, businesses and non-EU countries, particularly those in Latin America and Southeast Asia, have expressed relief at the extended timeline.
“While we fully support the EU’s commitment to environmental sustainability, this additional time is crucial to ensure that smallholder farmers and local producers are not unduly penalized,” said a representative from a European trade association. “Many sectors are still struggling to map their supply chains effectively and meet the compliance requirements.”
In addition to traceability, concerns were raised about the capacity of national authorities in exporting countries to monitor and verify deforestation-free claims, especially in developing nations with limited resources.
Environmentalists Criticize the Delay
However, the delay has been met with disappointment from environmental groups, who argue that it slows down urgent action needed to combat climate change and biodiversity loss. Deforestation, particularly in tropical regions, is a leading driver of global warming, as trees absorb significant amounts of carbon dioxide. Every year, millions of hectares of forest are cleared for agriculture, contributing to rising emissions.
“By postponing the EUDR, the EU risks undermining its leadership on climate and environmental issues,” said a spokesperson from Greenpeace. “We understand the challenges businesses face, but the urgency of the deforestation crisis cannot be overstated. A delay means more forests will be lost in the meantime.”
What Comes Next
The European Commission has emphasized that while the delay gives businesses more time to prepare, the core objectives of the EUDR remain unchanged. EU officials have reaffirmed their commitment to making the bloc’s supply chains more sustainable, reducing the environmental impact of European consumption, and promoting reforestation.
In the lead-up to the new 2025 deadline, the EU is expected to provide more guidance and support for companies, particularly small and medium-sized enterprises (SMEs), to help them comply with the regulation. There are also ongoing discussions about establishing partnerships with key exporting countries to develop certification and monitoring systems that align with the EUDR’s requirements.
Despite the delay, the EUDR will remain a cornerstone of the EU’s environmental agenda, with the goal of minimizing Europe’s contribution to global deforestation and fostering greater sustainability in international trade.
Background
The European Deforestation Regulation was first proposed as part of the EU’s Green Deal, which aims to make the continent climate-neutral by 2050. Deforestation has become an increasingly pressing issue in light of global efforts to limit temperature rise under the Paris Agreement. According to the United Nations, around 10 million hectares of forest were lost annually between 2015 and 2020, driven by agricultural expansion, logging, and infrastructure development.
The EUDR, once implemented, will have a broad impact on global supply chains, particularly in tropical regions where much of the world’s remaining forests are located. It is expected to create a ripple effect, encouraging greater transparency and sustainable practices worldwide.
As the countdown to 2025 begins, the EU faces the challenge of balancing environmental goals with economic realities, aiming for a future where trade does not come at the expense of the planet’s forests.