Shaping sustainability: How companies can use the EUDR as an opportunity
According to the EUDR, from December 2025, only products with no link to deforestation or forest degradation will be allowed to enter the European single market. The EUDR thus sets a binding framework for companies in the agricultural, food, automotive, textile, furniture and many other industries. Transparent, sustainable supply chains will become a regulatory obligation and at the same time a decisive competitive advantage.
What is the EUDR?
From December 2025, a new reality will apply in the EU: only products with no link to deforestation or forest degradation will be allowed on the internal market. What makes the EU Deforestation Regulation (EUDR) special is that it covers seven key raw materials – beef, soya, palm oil, cocoa, coffee, wood and rubber – as well as products made from them, such as chocolate, leather goods, tires and furniture.
The EUDR thus sets a binding framework for companies in the agricultural, food, automotive, textile, furniture and many other industries. Transparent, sustainable supply chains are becoming a regulatory obligation and at the same time a decisive competitive advantage.
Early action is crucial: Investing today secures compliance, strengthens your market position and improves access to financing opportunities.
The new reality: what companies need to do now
The EUDR goes far beyond voluntary commitments. Under the EUDR, companies must ensure full traceability back to the cultivation area, including the recording of GPS coordinates (point data or area polygons), the production date and the respective product category.
In addition, a risk analysis per origin is required, in which deforestation risks are assessed at regional level and a risk classification (low, normal or high) is carried out. In addition, companies must prepare a due diligence statement declaring that their supply chain is deforestation-free and submit the relevant information via the central EU IT system.
In order to fully comply with the requirements, all evidence must be documented and stored for at least five years. Finally, monitoring and control mechanisms must be implemented to ensure effective monitoring and to initiate corrective and escalation procedures quickly and in a structured manner in the event of any violations.
The biggest pitfalls – and how to avoid them
Many companies underestimate the challenges of EUDR implementation. Typical risk traps are
- Incomplete or incorrect geodata
- Insufficient supplier integration, especially for small producers
- Underestimated IT and administration effort
- Isolated compliance approaches that are not integrated into the overall strategy
Our experience shows: Those who set up structured processes at an early stage and recognize the synergies between sustainability, risk management and financing have a clear advantage.
With vision to success
The EUDR is not just a compliance burden, but a real opportunity to shape the future. Transparent, deforestation-free supply chains not only strengthen regulatory security, but also improve the resilience, sustainability and attractiveness of your company – for customers, investors and partners.
As experienced ESG and finance experts, we support you with pragmatic, scalable solutions – from the initial status assessment to the successful integration of EUDR into your corporate strategy. Now is the right time to make your supply chain fit for the future. We provide you with comprehensive support.
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