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EUDR Commodities

Seven specific commodities and derived products listed in Annex I of the regulation

The regulation establishes mandatory due diligence rules for seven specific commodities and derived products listed in Annex I of the regulation.

Within the global landscape, the EU stands out as a significant contributor to the demand for deforestation related goods. It is the second-largest importer of tropical deforestation and associated emissions, surpassed only by China.

These alarming trends paint a vivid picture of the extensive ecological footprint associated with the EU’s economic activities, urging a critical examination of its role in the preservation of tropical ecosystems and the mitigation of climate change.

To prevent deforestation in supply chains linked to the European market, the EU has adopted the EU Deforestation Regulation (EUDR), which prohibits certain goods and products from being placed on the market or exported from the European Union:

Soy, palm oil, wood, coffee, cocoa, cattle, and rubber, as well as derived products such as chocolate, leather and printed paper, with reference to a list of derived products in Annex I of the regulation.

Derived products are regulated by the EUDR

Important to highlight are the derived products, which can include a variety of products and therefore have a massive effect on the scope of affected companies. However, the regulation applies only to products listed in Annex I. Products not included in Annex I are not subject to the requirements of the regulation, even if they contain relevant commodities in the scope of the regulation. For example, soap will not be covered by the regulation, even if it contains palm oil.

ESG Regulations