What is the EUDR — and why does it matter for your supply chain?
The EU Deforestation Regulation (EUDR) requires companies trading in cattle, cocoa, coffee, oil palm, rubber, soy, wood, and derived products to implement due diligence measures ensuring their supply chains are free from deforestation, forest degradation, and local law violations since 31 December 2020.
Starting 30 December 2025 (or 30 June 2026 for smaller companies), only products classified as "deforestation-free" and compliant with local laws may be imported or exported to the EU. Companies within its scope must identify, prevent, and mitigate respective risks across their operations and supply chains.
This guide focuses on the practical supply chain implications: what data you need from your suppliers, how to collect geolocation coordinates, how to structure your due diligence process, and how to submit statements to the EU Information System.
EUDR implementation timeline
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The full list of covered products is defined in Annex I of the regulation, mapped to CN (Combined Nomenclature) codes. If your product contains, was fed with, or was made using any of these commodities, it falls within scope. The key obligation: you must prove the commodity was produced on land that was not deforested after 31 December 2020.
Coordinates must be in decimal degrees format (e.g. 51.5074, -0.1278). This data must be traceable back to the specific production plot — not just a region or country. For supply chains with multiple tiers, each operator must pass geolocation data upstream. If your Tier 1 supplier sources from a processor who sources from farms, the farm-level coordinates must ultimately reach you.
The obligations are the same: due diligence, geolocation data, risk assessment, and a due diligence statement submitted to the EU Information System. There is no exemption from the core requirements — only a timing difference. If you trade in wood, coffee, cocoa, soy, palm oil, rubber, or cattle products in the EU, you are in scope.
Practical approaches: (1) Send structured questionnaires asking for coordinates — even approximate ones can be validated against satellite imagery; (2) Use satellite-based tools to help suppliers identify their plots on a map and extract coordinates; (3) Work with cooperatives and industry bodies who may already have plot-level mapping; (4) For wood, sawmill intake records often include forest concession data that can be geocoded.
The regulation does not accept "we couldn't get the data" as an excuse. If you cannot obtain geolocation data for a supply chain, you cannot place that product on the EU market.
The statement includes: your company details, product description, commodity type, country of production, geolocation data, and a declaration that due diligence was performed. You receive a reference number that must accompany the product through the supply chain. Downstream operators and traders need this reference number from their suppliers.
The system is operated by the European Commission. Access will be available through a web portal, and large operators will likely be able to submit via API. The exact technical specifications are still being finalized.
Authorities will conduct both routine and surprise inspections, including physical checks at borders. They will also use satellite monitoring and risk-based targeting to identify suspicious shipments. Private parties (including NGOs) can bring legal action if they believe violations are being overlooked.
However, the risk level differs. The Commission will publish a country benchmarking system classifying countries (or regions within countries) as low, standard, or high risk. EU countries are likely to be classified as low risk, which means simplified due diligence — but the geolocation data requirement still applies. You just may not need as deep a risk assessment.