On 2 October 2024, the European Commission (EC) announced an intended delay on the starting day to commence the European Union Deforestation Regulation (EUDR), based on feedback received from international partners about preparations on the EUDR.
Subject to approval by the European Parliament and the Council, these additional 12 months to prepare, would make the EUDR applicable on 30 December 2025 for large companies and 30 June 2026 for micro- and small enterprises. The EC has stated that it intends the extra 12 months as a phasing-in period to ensure proper and effective implementation, and that all the implementation tools will be technically ready for this period.
The EC has acknowledged in announcing the delay that numerous trading partners have expressed concerns about the state of preparedness, including within Europe, for commencement of the regulation.
The department will continue to engage closely with the EC to inform industry of any further updates affecting Australian exporters through our established channels.
Under the EUDR, certain products for export to the European Union (EU) will have to meet new rules relating to the land on which they were produced. Exporters will need to ensure the land has not been subject to deforestation or forest degradation since 31 December 2020. They will need to provide clear evidence to EU operators and EU traders to support this.
Commodities
Commodities targeted by the EUDR are:
- Cattle (including beef)
- Cocoa
- Wood
- Coffee
- Oil Palm
- Rubber
- Soya
It also extends to a range of relevant products derived from these commodities, such as leather, chocolate and paper.
See the full list of relevant commodities and products (Annex 1 of the EUDR).
How it works
To export to the EU, you will need to meet the requirements of the EUDR.
You will be required to provide details of the product, including geocoordinates of all product locations until it was processed (for cattle, this is from birth to slaughter). You must also provide proof that production of your consignments followed all Australian laws, and that production is not associated with deforestation or (for wood) forest degradation.
Information Requirements
EU importers (termed 'Operators') and EU Traders will have to provide details of the product and supply chain to the EU authorities. They will use this to ensure the products meet the requirements of the EUDR.
EU authorities will require the following information:
- a description, including the trade name and type of relevant products
- for wood products, the common name of the species and its full scientific name
- a list of relevant commodities or products contained in, or used to make, the products
- product quantity (expressed in net mass, volume, or number of units)
- identification of the country of production
- geolocation of all plots of land producing commodities containing relevant products
- the geolocation of the establishments that kept cattle
- date or time range of production
- evidence that the commodities were legally produced
- adequately conclusive and verifiable information that the relevant products are deforestation-free
- details of the entire supply chain from beginning to end.
Geolocation
Geolocation details provided under the EUDR will need to be:
- at least one latitude coordinate and at least one longitude coordinate
- to a minimum of 6 decimal places.
Areas that are larger than 4 hectares need latitude and longitude points that describe the perimeter of the property.
Cattle only need a single geolocation coordinate to describe the establishments where cattle have been kept.
Geolocation data for all plots is required when a commodity has been produced on more than one plot. This may include when a commodity has moved across different plots of land or a product is made of goods from different plots of land.
Failure to provide this information may result in consignments being held at the EU border, returned, or destroyed.
Country Benchmarking
The EUDR will also have a country benchmarking system. This will determine the deforestation and degradation risk of each nation.
Nations will be classed on a 3-tier system, from low-risk to high-risk.
Definitions for each tier:
- High risk – countries that have been identified as having a high risk of producing relevant goods that do not comply with the EUDR.
- Standard risk – countries that do not fall into either the high risk or low risk category.
- Low risk – countries that have been identified as having a low risk of producing relevant goods that do not comply with the EUDR.
The EC has advised the country benchmarking will be complete by 30 June 2025. All countries have been designated as standard risk until a risk assessment has been completed. Australia continues to advocate for a permanent low-risk rating.
Classifying risk levels
The percentage of consignments inspected at the border on arrival will vary according to the level of risk assigned to the country or region of production. The European Commission (EC) is currently assessing each nation’s risk profile and will make public all information used to establish risks. This includes the EU Forest Observatory, which provides a general global indication of where forest may have been present at 31 December 2020.
Check the full list of current assessment criteria (Chapter 5).
EU Forest Map
As part of its global forest monitoring, the EU Observatory on deforestation and forest degradation has produced a first draft of an advisory global forest map, aimed at representing the state of standing forest cover at 31 December 2020, based on satellite data and the EU definition of forests. The map is one tool that EU Operators and EU Traders may use to determine application of the regulation.
The map can be accessed here: EU Forest Observatory
The Australian Bureau of Agricultural and Resource Economics (ABARES) has produced Australia’s State of Forests Report since 1998. The most recent accurate map of Australia’s forests, mapped according to Australia’s internationally recognised forest definition, was published in 2023.
Applying risk profiles
A nation’s risk classification will establish the level of scrutiny by the EU. This includes the proportion of consignments inspected by the relevant authorities
- Low-risk countries will be subject to ‘simplified due-diligence’ and a lower proportion of inspections.
- High risk countries will be subject to ‘enhanced scrutiny’ and a higher percentage of inspections.
Australia is still waiting on information from the European Commission on how ‘risk’ will be defined and how border controls will be implemented.
Updated EUDR Guidance
The EC has also published additional guidance documents and updated Frequently Asked Questions (FAQs) concerning the EUDR and its implementation. The guidance is intended to provide additional clarity to companies and enforcing authorities to facilitate the application of the rules.
The guidance is divided into 11 chapters covering issues including legality requirements, timeframe of application, agricultural use, and clarifications on the product scope. In addition, the latest FAQs, published concurrently, features over 40 new additional answers to address questions raised by stakeholders.
See more
EUDR Frequently Asked Questions
Subscribe to our Industry Advice Notices (IAN) for updates:
Contact
If you have questions about the EUDR please email: Europe.tmad@aff.gov.au.
Disclaimer
Many of the implementation details of the European Union Deforestation Regulation (EUDR) are still to be determined by the European Commission (EC). The above information is therefore provided to alert Australian entities but is not intended to substitute specific commercial or legal advice. Implementation of the EUDR is ultimately the responsibility of the EC and European Union Member States. Australian entities may wish to seek independent advice applicable to their business or based on their circumstances.
The information provided is current at the date of issue and is intended for use as guidance only. The Commonwealth has exercised due care and skill in the preparation of this information, but we do not warrant its accuracy, completeness or suitability for any purpose. Information may be subject to change without notice.
To the maximum extent permitted by law, the Commonwealth will not be liable for any loss, damage, expense or cost incurred by any person directly or indirectly as a result of relying on information contained in this notice.