EU deforestation policy may disrupt organic trade flows

EU deforestation policy may disrupt organic trade flows

The EU has placed global deforestation at the forefront of their purchasing policies. On June 29, 2023, the regulation on deforestation-free (EUDR) products was adopted. Operators and traders were given 18 months before the new rules are implemented. That date, December 31, is swiftly approaching.

The new EU policy directs the following:

Under the Regulation, any operator or trader who places these commodities on the EU market, or exports from it, must be able to prove that the products do not originate from recently deforested land or have contributed to forest degradation.

Palm oil, beef, cocoa, rubber and soybeans are all within the scope of the law. Operators and traders of these products are struggling to adapt to the new policy. Implementation in December holds the potential for disrupting EU organic corn and soybean imports.

Much of the…

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