03.10.2024

The EC has proposed delaying the anti-deforestation regulation

The European Commission has proposed a one-year extension of the transition period for the implementation of the EU's Deforestation Regulation (EUDR) after months of pressure from member states, trading partners and stakeholders, reports Euractiv.

The law applies to soy, livestock, palm oil, coffee, cocoa, rubber and timber produced both inside and outside the EU.

After weeks of speculation, the Commission made a formal proposal on 2 October to extend the transition period by 12 months to "serve as a phase-in period and ensure proper and effective implementation".

"If approved by the European Parliament and the Council, the law will apply from 30 December 2025 for large companies and from 30 June 2026 for micro and small enterprises," the Commission's press release said.

Under the current rules, companies have until December 30 this year to comply with the new due diligence requirements, while smaller companies have until June 30, 2025.

The Commission justified the delay by citing "feedback" from international partners on their readiness to implement. The EC also noted that EU stakeholders are at different levels of preparedness, with some well prepared and others expressing concerns about meeting the initial deadlines.

In addition to the proposal to delay the implementation of the EU's deforestation regulation, the Commission has also published long-awaited guidance, including key clarifications on the scope of the regulation, updated frequently asked questions and the methodology that will be used to develop the deforestation risk assessment.

next steps

The European Parliament and the Council have less than three months to complete the inter-institutional negotiations.

"We will do our best to accept it as soon as possible," a source from the Hungarian presidency told Euractiv.

The announcement prompted immediate reactions from member states such as the Czech Republic and Austria, which loudly called for a delay.

"I have been campaigning to delay the deforestation regulation for a long time. I agree with the basic idea of ​​the deforestation regulation. However, this is not a problem in the Czech Republic or in most European countries," commented Czech Agriculture Minister Marek Viborny, adding that the rules would put certain businesses "in a precarious situation."

In April 2023, the extension was backed by at least 12 EU agriculture ministers during a Council meeting.

However, the power to amend the regulation rests with both the Council and members of the European Parliament - and many fear that reopening the file could lead to a weakening of some of its provisions.

While European People's Party (EPP) leader Manfred Weber said he supported the postponement, others, such as Socialist Dellara Burkhardt, an MEP on the environment and one of the EUDR negotiators, condemned it.

"We will do everything possible to ensure that the conservative EPP group around the CDU and CSU does not use the newly opened legislative procedure to shrink the regulation," Burkhardt said.

Thomas Weitz, coordinator of the Greens/ESA group in the European Parliament's agriculture committee, said the extension should allow companies to implement the rules until next year.

“With the EU's deforestation regulation deadline extended, all companies should be able to implement it by next year. No more excuses. The regulation should not be diluted by the delay,” he added.

A coalition of cocoa companies, including Nestlé, Ferrero, Mondelēz, Mars, Tony's Chocolonely and NGOs such as the Rainforest Alliance and Solidaridad, "strongly oppose" calls to reopen the core of the EUDR during the upcoming negotiations.

To speed up the process, the European Parliament could trigger the emergency procedure, as it did earlier this year, to adjust some rules under the Common Agricultural Policy (CAP), then send the proposal directly to a plenary vote, bypassing the parliamentary report. Environment Commission (ENVI).

According to the relevant rules, the request for an urgent procedure can be made by a committee, a political group, a certain number of MEPs, the President of the European Parliament, the Council or the Commission.