Council Of EU Adopts One-year Postponement For Deforestation Law

KUALA LUMPUR, Dec 20 (Bernama) -- The Council of the European Union (EU) has formally adopted the regulation on the postponement of application of the EU deforestation law by one year.

This postponement will allow third countries, member states, operators and traders to be fully prepared in terms of their due diligence obligations, in order to ensure that certain commodities and products sold in the EU or exported from the EU are deforestation-free, it said.

“This includes products made from cattle, wood, cocoa, soy, palm oil, coffee, rubber and some of their derived products,” the council said in a statement published in its website.

The council said this formal adoption marked the final step in the ordinary legislative procedure. 

The regulation will now be signed and published in the Official Journal of the EU so that it can enter into force before year-end, it said.

The council noted that the deforestation regulation has already been in force since June 29 last year and its provisions are to be applied from Dec 30, 2024.

Following this targeted amendment, its rules will start to apply on Dec 30, 2025.

“This will give legal certainty, predictability and sufficient time for the smooth and effective implementation of the rules,” it stated.

On Oct 16, the council agreed to delay the implementation of the EU Deforestation Regulation (EUDR) by 12 months, providing a much-needed relief for Malaysia's palm oil sector.

The EUDR, which mandates that commodities sold in the EU must be deforestation-free, poses significant compliance challenges for palm oil producers.

Compliance costs are estimated at US$650 million annually, with US$260 million directly impacting smallholders.

-- BERNAMA