EU DEFORESTATION REGULATION.
EU Deforestation regulation has been coming enter to force date on 29 June 2023, The main driver of these processes is the expansion of agricultural land that is linked to the production of commodities like soy, beef, palm oil, wood, cocoa, coffee, rubber and some of their derived products, such as leather, chocolate, tyres, or furniture. As a major economy and consumer of these commodities linked to deforestation and forest degradation, the EU is partly responsible for this problem and it wants to lead the way to solving it.
What are the Commodity that impacted with this regulation:
Under the Regulation, any operator or trader who places these commodities on the EU market, or exports from it, must be able to prove that the products do not originate from recently deforested land or have contributed to forest degradation. Our team of experts possesses in-depth knowledge and expertise in EU-DE deforestation regulation. We understand the complexities and challenges that businesses face in complying with these regulations, and we are here to assist you every step of the way.
There are three step of Obligation ,depending on the production region risk,
This regulation applies to operators and businesses that distribute and sell covered products. The latter – ‘traders’ – are considered operators, with the same obligations. SMEs are a particular case: they will “simply” have to possess the required information on operators/traders who supplied them with and to whom they supplied concerned products (with related diligence statements’ reference numbers).
Before being allowed to place on the market or export concerned products, operators will have to carry out (and declare) mandatory due diligence, which includes three elements:
- 1) The collection of information about the products (description, quantity), country of production, all actors having supplied and/or been supplied with concerned products, but more importantly the precise geolocation of all plots of land, with the date or time range of production. Such information should confirm that there is no link with deforestation as of 31 December 2020.
- 2) The assessment of risks, considering fourteen criteria relating to the situation of the production country, complexity of the supply chain, reliability of information and of course the presence of forests and prevalence of deforestation; but also, to the respect of Indigenous peoples. This legislation thus has a dual dimension: environmental and social, the latter being focused on consultation, cooperation, and the consideration of potential claims regarding the use or ownership of the area.
- 3) The mitigation of risks, through the adoption of measures before commercialisation, until reaching no or only a negligible risk. These measures can include requesting additional data or documents, carrying out independent surveys or audits, or any other measures pertaining to the information requested in step 1.
These due diligence obligations will depend on the level of risk attributed by the Commission to the country/region of production in terms of deforestation or forest degradation. The regulation indeed includes the establishment of a country benchmarking system, categorising countries in three risk levels: high, low or standard, primarily based on the rate of deforestation/forest degradation, of expansion of relevant agriculture lands, and on production trends of relevant commodities and products. A simplified due diligence comprising only the first element (information collection) will then be exercised for products coming from low-risk countries.
What Services that TRANS OFFER.
2.Due diligent Statement Verification.
Our comprehensive range of services includes thorough Due Diligence and risk assessments tailored specifically to meet the requirements of EU-DE deforestation regulation. We combine our expertise with the latest industry insights to provide you with accurate and actionable information to ensure compliance and mitigate risks.
At TRANS we take pride in delivering exceptional results. Our team comprises seasoned professionals with extensive experience in EU-DE deforestation regulation, enabling us to provide practical solutions that align with your unique needs and business goals.
If you have any questions or would like to discuss your specific requirements, our team is readily available to assist you. You can reach us at email. firstname.lastname@example.org or www.transcert.com.my phone no:+60139108724, or by submitting your inquiry through our user-friendly contact form.
Ensure compliance and minimise risks with our top-notch Due Diligence and risk assessment services for EU-deforestation regulation.