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The EUDR, adopted in 2023, is designed to stop products linked to deforestation, like coffee, cocoa, beef, soy, timber, and palm oil, from entering the EU market.

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Listen: Brussels scales back deforestation law to ease pressure on small firms

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The European Commission has changed course, again, on its landmark anti-deforestation law, known as the EUDR.

After weeks of speculation about yet another delay, Brussels has now decided not to postpone the law for everyone. Instead, it’s introducing a series of exemptions and tweaks, especially for small businesses and farmers.

But what does this all mean in practice?

Production: By Europod, in co-production with Sphera Network.

EUobserver is proud to have an editorial partnership with Europod to co-publish the podcast series “Long Story Short” hosted by Evi Kiorri. The podcast is available on all major platforms.

You can find the transcript here if you prefer reading:

The European Commission has changed course, again, on its landmark anti-deforestation law, known as the EUDR.

After weeks of speculation about yet another delay, Brussels has now decided not to postpone the law for everyone. Instead, it’s introducing a series of exemptions and tweaks especially for small businesses and farmers. But what does this all mean in practice?

The EUDR, adopted in 2023, is designed to stop products linked to deforestation, like coffee, cocoa, beef, soy, timber, and palm oil, from entering the EU market. Companies have to prove that what they sell doesn’t come from land cleared after December 2020.

Initially, the law was supposed to come into effect at the end of 2024. Then it was postponed. Twice. Now, the Commission says the rules will finally apply to large companies on 30 December 2025, with a six-month grace period before penalties kick in.
For small and micro operators, the start date is pushed to December 2026.

And there’s another big shift: companies that sell finished products, like chocolate manufacturers, will no longer need to file individual declarations. Only importers of raw materials, such as cocoa or coffee beans, will have to do so. Which means, firms like Nestlé or Ferrero might skip some of the bureaucracy, while smaller players, who already face a mountain of paperwork, wait another year to catch up.

EU Environment Commissioner Jessika Roswall insists this isn’t a climbdown, saying the new proposal is about “making the rules work in a better and smarter way.”
But, the move came just weeks after she had floated a full one-year delay, which sparked backlash both inside the Commission and from environmental groups.

Now at first glance, this may look like a technical fix. But the implications go far beyond bureaucracy.
Environmentalists fear that every delay, every exemption, means more trees cut down and more carbon emissions released. Deforestation is responsible for around 10% of global greenhouse gas emissions and the EU is one of the world’s largest importers of deforestation-linked products.

Meanwhile, critics inside the Parliament say the Commission’s U-turn gives conservative forces a perfect excuse to weaken the law even further.
German MEP Christine Schneider has already announced plans for a so-called “zero risk” amendment, which could exempt dozens of countries, including EU members, from most reporting standards.

While Green MEPs warn that, reopening the law gives the right a free pass to weaken it under the banner of deregulation. And that’s the political tightrope here: balancing environmental ambition with economic reality and credibility.

So, what now?
The new proposal still needs approval from EU countries and the European Parliament. Lawmakers will now have the chance to add amendments and we can expect some to push for even more exemptions.

For big companies, the six-month grace period will be a relief. For small producers and importers, the delayed start may buy them time to adapt. But for forests and the global fight against deforestation, time is precisely what’s running out.

And the timing couldn’t be worse for the EU’s environmental agenda. We’ve already seen the bloc water down its Green Deal in the name of competitiveness. But the Commission insists it’s not lowering ambition, just being pragmatic. However, all this sounds like yet another compromise.

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