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EUDR delay: don’t ease up on delivering responsible supply chains

9 October 2024

Companies can use the Accountability Framework to accelerate company-wide progress towards addressing deforestation and related risks

The European Commission has proposed plans to delay enforcement of the EU Deforestation Regulation (EUDR) by 12 months to allow additional time for implementation. If approved, large companies will have until 30 December 2025 to demonstrate their compliance with the EUDR while small and micro enterprises will have until 30 June 2026.

The regulation prohibits companies from putting products on the EU market that are associated with deforestation or forest degradation, or that were illegally produced. The targeted commodities are cattle, cocoa, coffee, palm oil, rubber, soy, and wood, as well as some products derived from these commodities.

To support companies with compliance, the commission has released additional guidance and FAQs on definitions of key terms, companies’ traceability obligations, and how countries will be classified according to their deforestation risk levels.

Urgent action is needed company-wide

“The EUDR delay doesn’t change the fundamental importance for companies to eliminate deforestation and related risks of illegality and human rights violations in their supply chains. The extra year should be used to accelerate action towards this goal overall, not only to dot the i’s and cross the t’s for EUDR compliance,” said AFi Director Jeff Milder.

“Using the Accountability Framework as a holistic management system, companies can position themselves for compliance with EUDR and other regulations, while also fulfilling market expectations and advancing their voluntary targets on climate, nature, and sustainable development.”

Support for achieving responsible supply chains

In preparation for EUDR, companies can use the Accountability Framework to:

  • Set responsible supply chain goals, including a no-deforestation policy that aligns with EUDR requirements. Strong goals provide the foundation for effective company action and communicate the company’s intentions to all stakeholders.
  • Establish management systems that support fulfilment of responsible supply chains company-wide. This includes embedding goals into all business decisions and establishing appropriate internal oversight, capacity, and processes.
  • Map supply chains and trace commodities to their origins. This is needed to demonstrate compliance with company policies or to understand any issues that must be resolved. 
  • Engage suppliers in a mutually beneficial manner, particularly smallholders who will may support to meet new requirements.
  • Monitor supply chains to determine whether deforestation or forest degradation has occurred, and to proactively address risk in sourcing origins.

Visit the AFi’s pages for companies to get started with the Accountability Framework. This freely-available resource is applicable worldwide and across all agricultural and forestry commodities. Companies at any position in the supply chain can use the Framework, whether they are well advanced or just starting out on their responsible supply chain journeys.

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