The European Council and Parliament have reached a provisional agreement to delay the implementation of the EU Deforestation Regulation (EUDR) by a year as part of a ‘targeted revision’ of the legislation.
The aim was to simplify the existing rules and postpone their application to allow operators, traders and authorities time to prepare adequately, a 4 December statement on the European Council (EC)’s official website said.
Following concerns from member states and stakeholders about the readiness of companies and administrations, as well as about technical issues related to the new information system, the co-legislators supported the Commission’s targeted simplification of the due diligence (DDG) process.
The co-legislators also removed the ‘grace period’ initially proposed by the EC for large and medium companies, opting instead for a clear extension of the application date for all operators until 30 December 2026, with an extra six-month cushion for micro and small operators to 30 June 2027.
Originally due to take effect on 30 December 2024 and delayed for a year, the EUDR covers seven commodities linked to deforestation – palm oil, soyabean, timber, rubber, coffee, cocoa and cattle.
Traders and operators who would like to use or sell these products in the EU must prove that they are deforestation-free, legally produced, and traceable to their source by submitting due diligence statements (DDGs) on an IT system supporting the law.
Under the agreement, the obligation and responsibility to submit the required DDGs would fall exclusively on the operators who first placed the product on the market.
Small and micro-operators will only be required to submit a simplified declaration, which would replace the need for a full DDG statement.
Both co-legislators also underlined the importance of ensuring continued exchange with experts, stakeholders and all relevant operators on the EUDR’s implementation.
They also agreed to require competent authorities to report significant IT system disruptions to the EC to ensure the smooth functioning of the system, but with flexibility to minimise administrative burdens.
The provisional agreement will now have to be endorsed and formally adopted by both institutions before entering into force, replacing the current EUDR.
A simplification review would be conducted by the EC which would then present a report by 30 April 2026, the statement said.
