EU commits to deforestation-free products by 2025

The European Union is taking a significant step forward in the battle against global deforestation. Starting December 30, 2024, the new Regulation for Deforestation-Free Products will come into effect. This initiative, aimed at reducing deforestation and forest degradation, is led by the EU under the guidance of the Dutch Ministry of Agriculture, Nature, and Food Quality (LNV).

This regulation imposes strict requirements for the introduction of certain products into the European market. Its primary goal is to reduce deforestation and forest degradation, often a result of EU consumption and production. The regulation focuses on increasing demand for goods and products that are legally produced and deforestation-free. A key concern is the impact of global deforestation, which leads to biodiversity loss and contributes to 10 to 20% of global greenhouse gas emissions. The EU aims to reduce its CO2 emissions by regulating the production of these goods.

What products are regulated?

The regulation encompasses seven major commodities: oil palm, cattle, wood, coffee, cocoa, rubber, and soy. Products derived from these commodities, such as chocolate, furniture, paper, tires, and palm oil-based products, are also regulated. As of the implementation date, products contributing to deforestation can no longer be imported, produced, or exported by the EU. This applies to products from land deforested after December 30, 2020.

Corporate responsibilities

Companies dealing in or producing these products must prove that their goods are produced legally and without deforestation. This is achieved through a Due Diligence System (DDS), which involves collecting data on the origin and geolocation of the product, conducting risk assessments, and implementing measures to prevent the trade of illegal products.

Implementation dates and enforcement

The regulation will be phased in. Large companies are required to comply by December 30, 2024, while the deadline for small and medium-sized enterprises (SMEs), sole proprietorships, and self-employed individuals is June 30, 2025. For companies dealing in wood, the earlier date of December 30, 2024, also applies. The Dutch Food and Consumer Product Safety Authority (NVWA) and Customs will monitor compliance with these rules.

This new regulation marks a critical step towards a more sustainable and environmentally conscious European market. With the Regulation for Deforestation-Free Products, the EU is taking a leadership role in forest protection and combating climate change.

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