EU Regulation on Deforestation-free products

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Regulation (EU) 2023/1115
European Union regulation
Text with EEA relevance
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TitleRegulation on the making available on the Union market and the export from the Union of certain commodities and products associated with deforestation and forest degradation and repealing Regulation (EU) No 995/2010
Made by European Parliament and Council of the European Union
Journal reference L150, 9 June 2023, p. 206–247
History
Date made31 May 2023
Implementation date30 December 2024
Other legislation
Replaces Timber Regulation 2010
Current legislation

The EU Regulation on Deforestation-free products (Regulation (EU) 2023/1115, abbreviated EUDR) is a European Union regulation on deforestation. The goal of the EUDR is to guarantee that the products European Union (EU) citizens consume do not contribute to deforestation or forest degradation worldwide. [1]

The EUDR is a part of a bigger set of EU policies aimed at fighting climate change and biodiversity reduction, as codified in the European Green Deal. It supersedes the Timber Regulation 2010. [1] [2] It was formally adopted in May 2023 and applies to products placed on the market from 30 December 2024 by medium or big businesses and from 30 June 2025 by small businesses. [3]

The regulation applies to operators who either place on the EU market or export from it, a specific set of commodities or products: palm oil, cattle, soy, coffee, cocoa, timber and rubber, as well as derived products such as beef, furniture, and chocolate. [4] Businesses must carry out due diligence to ensure the products do not come from land that was deforested after 31 December 2020. [4] This includes collecting the geographic coordinates of the plots of land where the commodities were produced. [5] Commodity production must also comply with the laws in the country where they were produced. [4] Operators who can not provide the required information must refrain from placing their products on the EU market. Those who do anyway face fines, potentially up to 4% of their EU turnover. [5] [6]

Reception of the regulation has been mixed. The Economist listed it as one of their top 5 sustainability wins for 2023, [6] The New York Times reported it being hailed as "gold standard in climate policy". [7] and Greenpeace called it the EU's "big first step" to end its complicity in the "reckless destruction" of forests. [8] Various exporting countries have protested and warned the EU of severe economic impacts. [2] In the coffee sector, by December 2023 traders were reported to have already started to shift activities away from African countries where many of the world's smallholder farmers reside. [9] [10]

Related Research Articles

<span class="mw-page-title-main">Deforestation</span> Conversion of forest to non-forest for human use

Deforestation or forest clearance is the removal and destruction of a forest or stand of trees from land that is then converted to non-forest use. Deforestation can involve conversion of forest land to farms, ranches, or urban use. About 31% of Earth's land surface is covered by forests at present. This is one-third less than the forest cover before the expansion of agriculture, with half of that loss occurring in the last century. Between 15 million to 18 million hectares of forest, an area the size of Bangladesh, are destroyed every year. On average 2,400 trees are cut down each minute. Estimates vary widely as to the extent of deforestation in the tropics. In 2019, nearly a third of the overall tree cover loss, or 3.8 million hectares, occurred within humid tropical primary forests. These are areas of mature rainforest that are especially important for biodiversity and carbon storage.

<span class="mw-page-title-main">European Union Intellectual Property Office</span>

The European Union Intellectual Property Office (EUIPO) is a decentralised agency of the EU responsible for the registration of EU-wide unitary trade marks and industrial design rights. These exist alongside the intellectual property rights of individual EU member states, so the agency also works to harmonise EU-wide and national registration processes. Other responsibilities include the administration of the rights of certain products in the EU to carry geographical indications.

Dumping, in economics, is a form of predatory pricing, especially in the context of international trade. It occurs when manufacturers export a product to another country at a price below the normal price with an injuring effect. The objective of dumping is to increase market share in a foreign market by driving out competition and thereby create a monopoly situation where the exporter will be able to unilaterally dictate price and quality of the product. Trade treaties might include mechanisms to alleviate problems related to dumping, such as countervailing duty penalties and anti-dumping statutes.

<span class="mw-page-title-main">Due diligence</span> Standard of care before entering into a contract with another party

Due diligence is the investigation or exercise of care that a reasonable business or person is normally expected to take before entering into an agreement or contract with another party or an act with a certain standard of care.

<span class="mw-page-title-main">Greenwashing</span> Use of the aesthetic of conservationism for promotion

Greenwashing, also called green sheen, is a form of advertising or marketing spin that deceptively uses green PR and green marketing to persuade the public that an organization's products, goals, or policies are environmentally friendly. Companies that intentionally adopt greenwashing communication strategies often do so to distance themselves from their environmental lapses or those of their suppliers.

<span class="mw-page-title-main">Illegal logging</span> Harvest, transportation, purchase, or sale of timber in violation of laws

Illegal logging is the harvest, transportation, purchase, or sale of timber in violation of laws. The harvesting procedure itself may be illegal, including using corrupt means to gain access to forests; extraction without permission, or from a protected area; the cutting down of protected species; or the extraction of timber in excess of agreed limits. Illegal logging is a driving force for a number of environmental issues such as deforestation, soil erosion and biodiversity loss which can drive larger-scale environmental crises such as climate change and other forms of environmental degradation.

<span class="mw-page-title-main">Heidi Hautala</span> Finnish politician

Heidi Anneli Hautala is a Finnish politician and Member of the European Parliament (MEP) from Finland. She is a member of the Green League, part of the European Green Party.

<span class="mw-page-title-main">Forest Stewardship Council</span> Global forest certification system

The Forest Stewardship Council GmbH (FSC) is an international non-profit, multistakeholder organization established in 1993 that promotes responsible management of the world's forests via timber certification. This organization uses a market-based approach to transnational environmental policy.

European Standards, sometimes called Euronorm, are technical standards which have been ratified by one of the three European Standards Organizations (ESO): European Committee for Standardization (CEN), European Committee for Electrotechnical Standardization (CENELEC), or European Telecommunications Standards Institute (ETSI). All ENs are designed and created by all standards organizations and interested parties through a transparent, open, and consensual process.

Forest management is a branch of forestry concerned with overall administrative, legal, economic, and social aspects, as well as scientific and technical aspects, such as silviculture, forest protection, and forest regulation. This includes management for timber, aesthetics, recreation, urban values, water, wildlife, inland and nearshore fisheries, wood products, plant genetic resources, and other forest resource values. Management objectives can be for conservation, utilisation, or a mixture of the two. Techniques include timber extraction, planting and replanting of different species, building and maintenance of roads and pathways through forests, and preventing fire.

<span class="mw-page-title-main">Deforestation in Brazil</span>

Brazil once had the highest deforestation rate in the world and in 2005 still had the largest area of forest removed annually. Since 1970, over 700,000 square kilometres (270,000 sq mi) of the Amazon rainforest have been destroyed. In 2001, the Amazon was approximately 5,400,000 square kilometres (2,100,000 sq mi), which is only 87% of the Amazon's original size. According to official data, about 729,000 km² have already been deforested in the Amazon biome, which corresponds to 17% of the total. 300,000 km² have been deforested in the last 20 years.

<span class="mw-page-title-main">FERN</span>

Fern is a Dutch foundation created in 1995. It is an international Non-Governmental Organization (NGO) set up to keep track of the European Union's (EU) involvement in forests and coordinate NGO activities at the European level. Fern works to protect forests and the rights of people who depend on them.

A Voluntary Partnership Agreement (VPA) is a bilateral timber-trade agreement between the European Union and a timber-exporting country outside the EU. VPAs are a key element of the EU FLEGT Action Plan, which aims to address illegal logging.

<span class="mw-page-title-main">Environmental policy of the European Union</span> Environment protection policy

The European Union (EU) Environmental Policy was initiated in 1973 with the "Environmental Action Programme" at which point the Environmental Unit was formed. The policy has thereafter evolved "to cover a vast landscape of different topics enacted over many decades" (Reuters) and in 2015 the Institute for European Environmental Policy estimated that "the body of EU environmental law" amounted to 500+ directives, regulations and decisions.

"Over the past decades the European Union has put in place a broad range of environmental legislation. As a result, air, water and soil pollution has significantly been reduced. Chemicals legislation has been modernised and the use of many toxic or hazardous substances has been restricted. Today, EU citizens enjoy some of the best water quality in the world"

The European Union Forest Law Enforcement, Governance and Trade Action Plan is a European Union initiative to address illegal logging and the social, economic and environmental harm it causes. The EU adopted the Action Plan in 2003. The plan includes activities in the EU and in tropical countries that export timber and timber products to the EU. These measures include a regulation that prohibits EU businesses from importing or trading illegal timber, and bilateral trade agreements with timber-exporting countries. Much of the FLEGT Action Plan focuses on promoting trade in legal timber products and creating disincentives for trade in illegal products. However, the Action Plan's measures go further by addressing aspects of poor governance that enable illegal logging to persist.

The European Union Timber Regulation (EUTR) aims to counter illegal logging and associated trade in timber and timber products in the member states of the European Union, and ultimately contribute to sustainable management of forests and reduced emissions from deforestation and forest degradation beyond EU borders. The EUTR establishes obligations on 'operators' who place timber and timber products on the market and on 'traders' who buy or sell timber or timber products already on the internal market.

<span class="mw-page-title-main">EU-Mercosur Association Agreement</span> Proposed treaty to form a free-trade area covering the European Union and Mercosur member states

The European Union–Mercosur free trade agreement is a proposed free trade agreement on which the European Union and Mercosur reached agreement in principle in 2019. The planned deal was announced on 28 June at the 2019 G20 Osaka summit after twenty years of negotiations. The agreement is criticized by NGOs, scientists, unions, farmers and indigenous people.

<span class="mw-page-title-main">European Green Deal</span> Plan to transform the EU into a climate-neutral economy by 2050

The European Green Deal, approved in 2020, is a set of policy initiatives by the European Commission with the overarching aim of making the European Union (EU) climate neutral in 2050. The plan is to review each existing law on its climate merits, and also introduce new legislation on the circular economy (CE), building renovation, biodiversity, farming and innovation.

<span class="mw-page-title-main">Timber Regulation 2010</span> Europe Timber ragulations laying down the obligations of the operators

Regulation (EU) No. 995/2010 of the European Parliament and of the Council of 20 October 2010, laying down the obligations of operators who place timber and timber products on the market.

References

  1. 1 2 "Regulation on Deforestation-free products". European Union . Retrieved 24 July 2024.
  2. 1 2 "EU delays stricter rules on imports from deforested areas". Financial Times . Retrieved 24 July 2024.
  3. "Statement: Landmark European Union Deforestation Regulation is Formally Adopted, Will Enter into Force". World Resources Institute . Retrieved 24 July 2024.
  4. 1 2 3 "Deforestation Regulation implementation". European Union . Retrieved 24 July 2024.
  5. 1 2 "Due Diligence". European Union . Retrieved 24 July 2024.
  6. 1 2 "Top 5 sustainability wins in 2023". The Economist . 20 December 2023. Retrieved 24 July 2024.
  7. Cohen, Patricia. "Can Europe Save Forests Without Killing Jobs in Malaysia?". The New York Times . Retrieved 24 July 2024.
  8. "EU to adopt new deforestation law". Greenpeace . 13 April 2023. Retrieved 24 July 2024.
  9. Angel, Maytaal; Kurniawati, Dewi (19 December 2023). "Coffee firms turning away from Africa as EU deforestation law looms". Reuters . Retrieved 24 July 2024.
  10. Ghaedi, Monir (28 January 2024). "EU deforestation law means uncertainty for African coffee". Deutsche Welle . Retrieved 24 July 2024.