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The EU Deforestation Regulation, or EUDR for short, is a global step towards greater forest protection. Companies must meet various requirements in order to reduce global deforestation and protect primary forests.
Companies that import, place on the European market or export one or more of the affected raw materials or specific derived products:
Conduct risk analyses: one for the country of origin, including documentation and specific assessments, and another for deforestation-free products using satellite data.
Market participants, traders, and exporters are required to submit a Due Diligence Statement (DDS) for EUDR-relevant goods, including the geolocation and production period of each product.
Ensure adherence to all relevant social and environmental regulations in the country of production.
Verify that no forests have been cleared or converted for production purposes, ensuring deforestation-free processes.
Companies that fail to comply face fines of up to 4% of their annual turnover in the EU, as well as product and income confiscation measures .