The European Union’s deforestation regulation, set to take effect on Dec. 30, is facing growing opposition from governments, international trade organizations, and businesses. Critics argue that the regulation will discriminate against countries with forest resources and hurt their exports.
The EU Deforestation Regulation (EUDR) will outlaw the sale of forest-derived products within the 27-nation bloc if companies can’t prove their goods are not linked to deforestation. The regulation covers a wide range of commodities such as cocoa, soy, cattle, palm oil, rubber, wood, and products derived from these commodities. Companies will have to prove that these products come from land where forests haven’t been cut since Jan.
1, 2021, regardless of whether the deforestation was legal in the countries of origin. Failure to comply can result in financial penalties and restricted access to the EU market.
EU deforestation rule faces strong opposition
Officials from leading exporters of affected commodities, including Brazil, Indonesia, and the Ivory Coast, have objected to the regulation. They argue that it could act as a trade barrier, negatively affect small farmers, and disrupt supply chains. The Indonesian embassy in Brussels said, “This regulation disregards local circumstances and capabilities, national legislations, certification mechanisms, their efforts to fight deforestation, and multilateral commitments of producer countries, including the principle of common but differentiated responsibilities.”
Politicians within the EU have also expressed concerns or asked for postponements.
German Chancellor Olaf Scholz has asked for the regulation to be suspended, while Austria and some agricultural ministries in EU member states have sought to weaken the regulation. Lobbying groups representing impacted businesses, such as animal feed and tire producers, have voiced concerns about the regulation’s strict traceability requirements and a flawed information entry and database system where companies need to submit their due diligence statements. Environmental organizations have said that the EUDR will help reduce Europe’s global deforestation footprint.
In Brazil, where deforestation rates spiked during a record drought, 25 environmental groups voiced their support for the regulation in a letter to the president of the European Commission, Ursula von der Leyen. The EUDR is perceived by its proponents as a critical measure to address environmental degradation and enhance sustainable practices within global supply chains. However, its implementation remains a topic of intense debate amidst conflicting interests between environmental sustainability and economic trade dependencies.
- APNews.”Countries, businesses and trade officials urge EU to rethink deforestation regulation”.
- TheJakartaPost.”Why EUDR’s implementation can and must be postponed”.
- EuroNews.”Is the EU’s forest protection law becoming Brussels’ next nightmare? | Radio Schuman”.