In Short

• European Commission scraps plans to delay the EU Deforestation-free Regulation.
• Micro and small businesses get extra time to comply under the revised proposal.
• The law will take effect on 30 December, subject to EU Parliament and Council approval.

In a surprising turnaround, the European Commission has taken a U-turn on its earlier plan to delay the EU anti-deforestation law and has chosen instead to implement it on schedule.

This shift comes just a month after the Commission proposed pushing back the regulation for another year.

The decision was announced by Environment Commissioner Roswall during the Environment Council meeting in Luxembourg, where she docketed several adjustments for discussion, aimed at making compliance easier for companies.

Read More: Sustainable Future: Mexico’s Avocado Exports to Go Deforestation-Free by 2026

The EU Deforestation-free Regulation (EUDR), introduced in 2023, is designed to ensure that imported goods such as coffee, beef, cocoa, and palm oil are not linked to deforested land.

After a previous 12-month postponement, the Commission now confirms that the regulation will come into force on 30 December this year.

The law is part of the EU’s pathway to snuff out global deforestation tied to agricultural production.

Under the revised plan, micro- and small businesses will be given an extra year to meet the new obligations. Besides, all companies will have a six-month grace period, extending compliance until 30 June, if they face difficulty adjusting immediately.

To reduce administrative burden, only the company placing a product on the EU market for the first time will need to file a due diligence statement, a move designed to cut paperwork and avoid latency on the EU’s IT system.

Also Read: NAB on Tenterhooks Over Deforestation in Agri-Lending

Before the proposal becomes final, it must receive approval from the European Parliament and the Council of the EU. Their endorsement will determine how the regulation is rolled out and how businesses trading with the EU will adapt to the new deforestation-free requirements.

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Source: Politico