22.02.2024
The European Union aims to be the first continent to be completely climate neutral by 2050. This is also called the ‘European Green Deal’. To achieve this goal, the European Commission has introduced the ‘Fit for 55’ package, consisting of 14 measures, aimed at reducing the EU’s CO2 emissions by 55% by 2030 compared to 1990.
One of these 14 measures is the ‘European Union Deforestation Free Regulation (EUDR)’. The EUDR must ensure that deforestation and forest degradation are prevented.
Deforestation and forest degradation
Deforestation and forest degradation have several negative consequences regarding global climate change. For example, they lead to increased greenhouse gas emissions from associated forest fires, which reduces the climate resilience of the affected area, biodiversity and resistance to diseases and pests.
Consuming certain products contributes significantly to global deforestation and forest degradation. Without appropriate regulation, the consumption and production of the seven raw materials listed below in the EU is estimated to increase deforestation by around 248,000 hectares per year by 2030.
The law has initially included 7 commodities within the scope of the EU regulation:
- Beef
- Cocoa
- Coffee
- Palm oil
- Soy
- Wood
- Rubber
- Other derivative products
EUDR
This means that the EUDR not only concerns imports, but also exports of these raw materials and products made with these raw materials.
The three criteria for importing or exporting these goods from the entry into the EUDR are:
- they are deforestation-free,
- have been produced in accordance with the relevant legislation of the country of production,
- are covered by a due diligence statement.
Planning
- The guidelines for the national implementation of the EUDR will be published in May 2024.
- The EUDR came into effect from June 2023, but will not be implemented until December 2024.
- A list of low, medium and high risk countries and areas will be published by December 30, 2024.
There is currently still a lot of uncertainty about the content of the EUDR. Our consultants do everything they can to keep you informed of the latest developments. If you have any questions, please feel free to contact them.
