Deforestation Regulation: Who and How It Will Be Affected Starting in January

Summary written by AI from expansion.com, not reviewed by a person. Original linked.

Deforestation Regulation: Who and How It Will Be Affected Starting in January

The EU Deforestation Regulation (EUDR) mandates rigorous verification of the geospatial origin of key raw materials to ensure they are deforestation-free, a requirement that places a significant burden on importing and producing companies in sectors such as food, timber, and footwear. The regulation not only aims to protect forests but also requires proof of compliance with local legislation and mitigation of labor risks, involving stakeholders ranging from small-scale forest owners to large retail chains. The gap between awareness and actual operational readiness is a direct consequence of the regulation’s logistical complexity. While large multinational corporations are moving toward data automation, many small and medium-sized enterprises (SMEs) continue to rely on manual processes that are unsustainable given the need for deep traceability, as supply chain visibility disappears at the lower levels of production where raw materials originate. This context is crucial for understanding greenwashing, as the requirement for precise, third-party-verified data eliminates the possibility of vague environmental claims. International certifications serve as indispensable validation mechanisms, enabling companies to demonstrate genuine transparency and avoid accusations of misleading eco-marketing by replacing promises with auditable evidence throughout the value chain.

Source: expansion.com
Published on 2026-10-28