EUDR Explained

Why EUDR?

Deforestation is a main driver of the climate and biodiversity crises, and the EU contributes to it by consuming a significant share of products associated with deforestation. The Intergovernmental Panel on Climate Change (IPCC ) has found that halting deforestation and restoring ecosystems is one of the most efficient ways to reduce CO₂levels and thus fighting climate change.

The EUDR aims to ensure that a set of key products traded and consumed in the EU and globally no longer contribute to deforestation and forest degradation.

iStock.com / winnond

Drone shot of Mayan ruins in a forest — FSC / Iván Castro

Which products does EUDR apply to?

The EUDR applies to wood, rubber, palm oil, soy, beef, coffee, and cacao. Wood products, which are most connected to harvesting, have additional 'degradation-free' requirements.

Wood

Rubber

Palm Oil

Soy

Beef

Coffee & Cacao

What does EUDR mean for companies?

While the EUDR is a European legislation, its implications are global. Companies placing or exporting the affected products in or from the EU market will have to conduct due diligence to confirm that the products have not been sourced from land which was deforested or degraded after 31 December 2020. Companies will also have to verify that these products are compliant with relevant legislation of the country of production, including respect for human rights, and the rights of affected Indigenous Peoples.

Forest from above — FSC Brazil / Célio Cavalcante Filho

How will EUDR be enforced?

The EU Competent Authorities, which are yet to be nominated, will be the organizations in charge of enforcing and implementing the EUDR. They will have access to relevant information provided by the companies or credible voluntary systems, such as the geolocation coordinates of relevant commodities.

With the help of satellite monitoring tools and DNA analysis, they will check where products come from.

Timelines and what happens next

The EUDR entered into force on 29 June 2023 and the new rules will become applicable as of 30 Dec 2024. Exemptions and specific provisions will be applicable for micro and small enterprises (SMEs).

In the next 18 months the Commission will also benchmark countries, or parts of them, and will determine their levels of deforestation risk, which could be low, standard, or high. Products from low-risk countries will be subject to a simplified due diligence procedure. Assessments from the EU Commission may be revised over time. In parallel, FSC is assessing how its standards align with the EUDR while identifying required steps to further support operators and traders to comply with it.