Simplified rules expected to reduce costs of EU deforestation law by 30 per cent

Simplified rules expected to reduce costs of EU deforestation law by 30 per cent

Businesses will have to file much less paperwork when the EU’s landmark deforestation law comes into force than originally envisaged.

The European Commission has published updated guidance on the EU Deforestation Regulation (EUDR) which it says it expects to “significantly reduce the number of due diligence statements that companies need to file, replying to key industry demands”.

It is also consulting on a new delegated act which provides further clarifications and simplification on the scope of the EUDR, addressing stakeholders’ request for guidance on specific categories of products.

The Commission says the measures, all together, will reduce administrative costs and burden for companies by around 30 per cent.

Jessika Roswall, the EU commissioner for environment, water resilience and a competitive circular economy, said: “We are committed to implementing EU rules on deforestation in a spirit of close partnership, transparency, and open dialogue.

“Our aim is to reduce administrative burden for companies while preserving the goals of the regulation.

“We will continue to work very closely with all stakeholders, to ensure that our rules deliver on reducing global deforestation and forest degradation in the least burdensome way for companies.”

The EU Deforestation Regulation aims to ensure that key goods in the EU market do not contribute to deforestation and forest degradation both in the EU and globally.

Deforestation and forest degradation are significant drivers of climate change and biodiversity loss.

The EUDR covers companies who sell palm oil, cattle, soy, coffee, cocoa, timber and rubber, as well as some derived products, such as beef, furniture or chocolate.

It will become applicable on 30 December 2025 for large companies and 30 June 2026 for micro- and small enterprises.

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