EU Anti-Deforestation Regulation Largely 'Gutted' After High Hopes

It was a pioneering regulation that would combat the worldwide scourge of forest loss.

But, the final version of the European Union's anti-deforestation law, previously heralded as the flagship policy of the European Green Deal, has emerged in a severely weakened state, leading to alarm from its original architect and environmental politicians.

"The regulation was stripped," stated the law's original author, citing the removal of crucial requirements for downstream traders to check the origin of products like coffee, cocoa, beef, soy, palm oil, rubber and timber.

Schally cautioned that fewer obligated actors, less information collected, and less precise origin data would make enforcement and prosecution more difficult.

A Watered-Down Law

Environmental MEP Marie Toussaint was more blunt, describing the postponements, exceptions and new loopholes – including one for printed products – as the "systematic weakening" of the law.

This outcome stands in stark contrast to the hopes of more than a million EU citizens who signed a petition in 2020 calling for a prohibition of deforestation-linked products.

When launched in 2021, the EU's climate chief Frans Timmermans trumpeted it as "the toughest legislation ever put forward to fight deforestation."

From Ambition to Compromise

The regulation's dilution has been interpreted as the European Union retreating from its green talk. The proposal encountered significant delays, ostensibly over technical problems, which drew condemnation.

"By reopening this file instead of solving a simple IT problem, authorities invited political interference," commented the Green MEP.

Originally, the law mandated that firms to track commodities to their specific geographic origin using geolocation data, holding them accountable for deforestation in their supply chains with criminal charges and hefty fines.

"This was not red tape for its own sake," the former official explained. "These rules were the tool that made the rules enforceable, created a verifiable paper trail, and prevented firms from obscuring their activities behind complex supply chains."

Mounting Pressure

Yet, the strict due diligence triggered a backlash in Brussels from large companies, exporting nations, conservative political groups and member states with forestry industries.

Experts cite last year's European Parliament elections as a decisive moment, shifting the balance of power more skeptical of green regulations.

"Additional intense pressure has come from big trading partners outside the EU," said expert Andreas Rasche, implying the commission gave in to some demands in trade talks.

Key Loopholes Introduced

In the final legislation includes key dilutions:

  • Retailers and traders were mostly exempted from submitting due diligence statements.
  • A new “low risk” category was introduced.
  • A option for more reductions was opened for next spring.
  • Only a handful of nations – Russia, Belarus, North Korea and Myanmar – will face “high risk” scrutiny.

"Rather than strengthening rules for companies, it rolled them back," lamented the law's author. "By shifting responsibilities to producers, it lessened the number of responsible firms."

Business Frustration

The protracted process and revisions have also caused frustration for companies that prepared in advance.

"It is very frustrating because we invested significant resources into complying," said a coffee company executive. "We purchased systems, trained staff and established procedures... now they’re saying it may be changed. It’s a major letdown."

Official Defense

An EU representative defended the outcome, saying: "We have listened to feedback and taken action to ensure a simple, fair and cost-efficient implementation."

"The new text ensures stability, which is crucial for companies and national regulators to effectively enforce this very important law."

Cody Martin
Cody Martin

A passionate gamer and tech writer with over a decade of experience covering indie and AAA titles across multiple platforms.