Commission welcomes provisional agreement on additional phase-in time for EU Deforestation Regulation

This article is brought to you in association with the European Commission.

The Commission welcomes the provisional political agreement reached between the European Parliament and the Council on the Commission’s proposal to grant a 12-month additional phasing-in period. This will ensure proper and effective implementation of the EU Deforestation Regulation (EUDR), while preserving its integrity. The Commission’s proposal came as a response to feedback received from international partners, Member States and companies about their state of preparations and to give all parties concerned sufficient time to prepare.

Once formally adopted, the law will become applicable on 30 December 2025 for large companies and 30 June 2026 for micro- and small enterprises. This will allow third countries, Member States, operators and traders an extra year to prepare for the implementation of the Regulation.

Given the EUDR’s novel character, the swift calendar, and the variety of international stakeholders involved, a 12-month additional time to phase in the system isabalanced solution to support operators around the world in securing a smooth implementation from the start. This is essential to guarantee certainty about the way forward and to ensure the success of the EUDR.

In the meantime, the Commission will continue providing further clarifications on the legislation and explore additional simplifications, in full compliance with the objectives of the Regulation, through updates of the guidelines and the frequently asked questions document. 

The Commission proposal was part of a broader package of support measures released on 2 October including additional guidance documents and a strongerinternational cooperation framework to support global stakeholders, Member States and third countries in their preparations for the implementation of the EU Deforestation Regulation. The Commission aims to finalise the country benchmarking system as soon as possible but no later than 30 June 2025, in dialogue with most concerned countries. The Information System where businesses will register their due diligence statements will enter into operation on 4 December.

Next steps

The European Parliament and the Council will now formally have to adopt the targeted amendment of the EU Deforestation Regulation before it can come into effect.

Background

The Deforestation Regulation entered into force on 30 June 2023. When the rules enter into application, all relevant companies will have to exercise due diligence if they place on the EU market, or export from it, palm oil, cattle, soy, coffee, cocoa, timber and rubber as well as some of its derived products (such as beef, furniture, or chocolate).

Deforestation and forest degradation are important drivers of climate change and biodiversity loss. The Food and Agriculture Organization of the United Nations (FAO) estimates that 420 million hectares of forest — an area larger than the European Union — were lost to deforestation between 1990 and 2020. In terms of net area loss (the difference between area of forest cleared and new surface of forests planted or regenerated), the FAO estimates that the world lost around 178 million hectares of forest cover in the same period of time, which is an area triple the size of France.

The Intergovernmental Panel on Climate Change (IPCC) estimates that 23% of total greenhouse gas emissions (2007-2016) come from agriculture, forestry and other land uses. About 11% of overall emissions are from forestry and other land use, mostly deforestation, while the remaining 12% are direct emissions from agricultural production such as livestock and fertilisers.

For More Information

Guidance on EU Deforestation Regulation

Strategic Framework for International Cooperation Engagement

Commission website on EU Deforestation Regulation implementation

Quote(s)

Trending now: