EU Stands Firm on Deforestation Law Despite Industry Pressure

The European Union has resisted calls from industries and countries to delay its deforestation law, set to take effect on Dec. 30. Companies must ensure their products do not contribute to forest destruction. Despite concerns from the U.S. and industry groups, the European Environment Commissioner has not indicated any plans to delay the policy.

The European Union has resisted calls from certain industries and countries to delay its key policy targeting deforestation, according to a letter obtained by Reuters on Friday.

Starting Dec. 30, the deforestation law will obligate companies selling soy, beef, coffee, palm oil, and other products in the 27-nation bloc to prove their supply chains are not contributing to forest destruction. EU-based companies will also be banned from exporting products grown on deforested land. The U.S. government and industry groups like the Confederation of European Paper Industries (CEPI) have pushed for a delay, citing unfinished systems for managing the ban.

In a letter dated July 2 to CEPI members, European Environment Commissioner Virginijus Sinkevicius acknowledged the concerns but indicated no reconsideration of the timeline. 'We are hearing feedback from some stakeholders that preparation for implementation may be challenging. However, we also see encouraging signs in many sectors and countries working to align with EUDR (EU Deforestation Regulation) requirements,' the letter stated. An online system for companies to submit due diligence statements is reportedly in progress.

(Disclaimer: With inputs from agencies.)