Developing and developed members applauded the EU decision to postpone the implementation of its new Regulation on Deforestation-Free Products (EUDR) for twelve months.
This regulation, which was set to take effect on 30 December 2024, will require a variety of agricultural products sold in the EU market to be "deforestation-free," meaning they must not result from recent (post-31 December 2020) deforestation, forest degradation, or breaches of local environmental and social laws.
The EUDR covers more than just seven commodities (i.e., cattle, cocoa, coffee, oil palm, rubber, soya, and wood); it encompasses a wide range of derived products, such as meat products, chocolate, pulp, and paper-- just to mention a few.
Bedfellows in opposition to the EUDR include Brazil, Indonesia, Paraguay, Ecuador, Guatemala, Thailand, New Zealand, Australia, and the United States, while in March 20 of the 27 EU members called for revisions to the policy, claiming it would harm domestic farmers.
At the WTO this Spring critics expressed "deep concerns" over the policy, citing multiple reasons, according to a Geneva official.
First and foremost, Indonesia highlighted the confusion surrounding the benchmarking system. Indonesia stated, "Indonesia is an archipelago country with more than 17,000 islands. If each marking is region-based, when one region is mislabeled as high risk, will other commodities in that region be considered high risk? If it is commodity-based, will the label of a particular commodity in one region also apply to that particular commodity from other regions?"
The Malaysian Palm Oil Council (MPOC), the main promotional and marketing vehicle of the commodity said the delay was a “sensible and much-needed step”, providing relief for businesses that require additional time to prepare for compliance with the complex regulatory demands of the EUDR.
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