EU Negotiators Delay Deforestation Ban, Discard Proposed Changes

The EU anti-deforestation law – the first of its kind in the world – cracks down on commodities linked to deforestation and forest degradation for agricultural expansion, targeting cattle, cocoa, coffee, palm oil, soya, and wood sold within the bloc.

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EU negotiators on Tuesday voted to delay the bloc’s controversial deforestation ban by one year but rejected changes to the regulation.

The move follows a proposal by the European Commission in October to delay the legislation until December 30, 2025, in response to mounting pressure from some EU and non-EU countries, global business partners and industry. Many of them were complaining about a lack of preparedness to comply with the new strict requirements.

Negotiators, however, rejected a Commission’s proposal to water down the regulation by implementing a new “no risk” category of countries, mostly EU members, with vastly reduced checks.

Originally set to kick off on December 30, 2024, the EU Deforestation Regulation (EUDR) was formally adopted last year and it is the first such regulation in the world.

The law cracks down on commodities linked to deforestation and forest degradation for agricultural expansion, targeting cattle, cocoa, coffee, palm oil, soya, and wood sold within the bloc. The six commodities accounted for over 50% of total deforestation between 2001-2015, with cattle accounting for the largest share. 

The main requirement of the EUDR is that commodities sold within the bloc are “deforestation-free.” This applies to both legal and illegal deforestation.

More on the topic: Explainer: All You Need to Know About the EU Deforestation Regulation 

Since its adoption, however, the 27-member bloc has faced backlash and calls for a revision.

In a letter to the European Commission, the Brazilian government in September said the law was an “unilateral and punitive instrument” that discriminates against countries whose economies rely on forest resources such as Brazil. Government calculations suggest the legislation could affect some $15 billion-worth of exports. According to Brazil’s Ministry of Development, Industry and Foreign Trade figures, Brazil’s exports of products covered by the law in 2023 amounted to $46.2 billion.

Nations including Colombia, Indonesia, and Malaysia have also criticised the ban, saying they are costly and burdensome and could end up excluding missions of poor, small-scale farmers from the bloc’s market. This is especially true for agricultural smallholders, which own 25% of agricultural land and produce roughly 30% of crops globally.

Countries have also warned that products are often hard to trace given that supply chains often span multiple countries, further complicating efforts to comply with the new rules. 

In April, then-European Environment Commissioner Virginijus Sinkevicius said the law will come into force at the end of 2024 as initially planned in response to calls by an Austria-led coalition of 20 of the 27 EU member states to review the law. They argued that the new rules would hurt European farmers, who are also subject to the new rules.

In response to criticism, the Commission in October published additional guidance documents to “provide additional clarity to companies and enforcing authorities to facilitate the application of the rules.” The documents cover a wide range of issues, including legality requirements, timeframe of application, agricultural use, and clarifications on the product scope.

Tuesday’s vote means the ban will effectively come into force for large operators and traders on December 30, 2025, and six months later for small enterprises.

An “emergency break” will also apply if the online system for companies is not fully operational when the law comes into force next year, or if the country classification is not published at least six months before, Reuters reported.

The law is intended to address the growing role of the bloc in advancing global deforestation. The 27-country bloc is responsible for importing products that account for approximately 13-16% of deforestation – and related emissions – associated with global trade.

The European People’s Party, which pushed for the changes, welcomed the decision.

“We promised and we have delivered. This postponement means businesses, foresters, farmers and authorities will have an additional year to prepare,” said centre-right MEP Christine Schneider.

In October, Human Rights Watch and Greenpeace had warned that delaying the law would mean allowing deforestation and human rights violations to persist “for at least another year.”