The EU Deforestation Regulation (EUDR), effective from December 2024, prohibits the placement on the EU market of commodities and products linked to deforestation or forest degradation after December 2020. Covered commodities include soy, palm oil, wood, cattle, coffee, cocoa, and rubber, along with many derived products.
The regulation requires companies to conduct due diligence: identify the geographic coordinates of production plots, assess the risk of deforestation, and demonstrate that products are “deforestation-free.” This represents an unprecedented level of supply chain traceability for agricultural commodities.
For Indian exporters of covered commodities (particularly soy, wood products, and coffee), EUDR compliance requires investment in geolocation systems, supplier mapping, and risk assessment processes. The costs are significant but the consequence of non-compliance — market exclusion — is more significant.
RSustain helps commodity exporters and processors prepare for EUDR compliance. Our advisory covers: supply chain mapping and geolocation systems, deforestation risk assessment methodologies, due diligence system design, and ongoing monitoring and reporting processes.
EUDR reflects a fundamental principle: the environmental impact of products should be managed throughout the supply chain, not externalised to producing countries. Companies that embrace traceability will maintain market access and build consumer trust.