Palm oil, Cocoa, Coffee, Rubber, Soy, Beef, and Timber, and their derivative or embedded products.
Any commodity produced and crossing the EU border after the legislation has entered into force will be subject to the regulation (import and export). The regulation will enter into force for large companies in June/July 2023 and into obligation 18 months after this date, in December 2024.
Penalties for non-compliance could include fines of up to 4% of company turnover within the EU, and others.
What makes this law different?
This legislation sets mandatory due diligence standards to level the playing field. The onus is on companies to prove that the relevant commodities are both deforestation-free and legal (compliant with all relevant applicable laws in force in the country of production). It is essential to have accurate data to prove that no deforestation has occurred after the cut-off date before shipments are made.
What you need to do for EUDR compliance?
Ensure that relevant commodities and products are deforestation-free & produced in accordance with the relevant legislation of the country of production
Companies are required to submit Due Diligence Statement – policies, controls and procedures to mitigate and manage effectively the risks of non-compliance
Due Diligence System:
Risk management practices, reporting, record-keeping, internal control and compliance managemen
Appointment of a compliance officer at management level;
Independent audit function to check the internal policies, controls and procedures
Keep 5-year records of Due Diligence Statement and Due Diligence System
Risk assessments – documented, reviewed annually, and available upon request to authorities
Our current userbase includes many of the tire makers who will need to comply with EUDR as the EU is a key market for them – we are in a unique position to provide common infrastructure and tools for them and their suppliers to comply to EUDR requirements.
We develop tailored solutions to meet the industry’s needs and want to include EUDR and other relevant regulations into our solutions – our product suite touches on the physical trading and supplier data collection workflows which are critical elements for EUDR and other supply chain due diligence regulations.
Do reach out to us if you would like to find out more about our products.