The EU Deforestation Regulation (EUDR): What Businesses Need to Know

Quick Summary
The EUDR is an EU law aimed at minimising global deforestation, forest degradation, greenhouse gas emissions and biodiversity loss.

From 30 December 2026, large and medium-sized businesses placing certain products on the EU market must prove they are “deforestation-free.”

For small and micro undertakings, the compliance deadline is 30 June 2027.

Covered products include:

• Cattle (beef, leather)
• Cocoa
• Coffee
• Oil palm
• Rubber
• Soy
• Wood

It also extends to products made from these materials (e.g. furniture, paper, tyres, chocolate, rubber gloves, conveyor belts).

Products already in the EU market before these dates are excluded.

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Key Requirements for Businesses

To place covered products on the market, companies (known as Operators) must ensure:

• Products are deforestation-free and comply with the laws of the country of production.
• Each shipment is covered by a Due Diligence Statement (DDS), submitted via the EU’s online system and retained for 5 years.
• They notify authorities and distributors if any non-compliant products are identified.
• They provide distributors (Traders) with DDS reference numbers.

Due Diligence Process

1. Information gathering – product description, trade name/type, species (for wood), quantities, country & region of production, geo-location of plots, production dates, supplier/distributor details.
2. Risk assessment – evaluate risks based on country classification, presence of forests or indigenous communities, deforestation history, corruption/document falsification risks, supply chain complexity, potential for mixing, and certifications.
3. Risk mitigation – take steps to reduce or eliminate identified risks.
4. Record-keeping – maintain supplier and customer data, including DDS references, for 5 years.

Authorised Representatives

Non-EU companies must appoint an Authorised Representative in the EU. Their role is similar to other product regulations (GPSR, CE marking): ensuring compliance, maintaining records, and cooperating with market authorities.

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Deadlines

Deadlines vary depending on the size of the business:

• 30 December 2026 for large enterprises (turnover > €50m) – these companies have an additional obligation to check that Due Diligence Statements (DDSs) are valid/correct.
• 30 December 2026 for medium-sized enterprises (turnover between €10m – €50m).
• 30 June 2027 for micro and small enterprises (turnover ≤ €10m).

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Why it Matters

The EUDR is part of the EU’s wider environmental strategy to combat climate change and biodiversity loss. For businesses, it means:

• New traceability obligations (similar to CE marking).
• Stronger supply chain due diligence.
• Increased scrutiny from market authorities.

Our systems are already being adapted to support companies with EUDR compliance. If you have questions about how the regulation affects your products, we’re here to help.

For quick answers check out our FAQs on EU Deforestation Regulation (EUDR)