EU proposes further delay to deforestation regulation citing IT system readiness concerns
Environmental groups warn of high costs and lost momentum as EU seeks another year to finalize its deforestation regulation system.
EU – The European Commission has proposed delaying the enforcement of the European Union Deforestation Regulation (EUDR) until December 2026, citing technical shortcomings in its IT system.
The regulation, first introduced in 2021, aims to curb deforestation linked to products such as cocoa, coffee and palm oil.
In a letter to the European Parliament, Jessika Roswall, European Commissioner for Environment, Water Resilience and a Competitive Circular Economy, stated that the current IT infrastructure could not yet manage the volume of registrations and paperwork required under the rules.
She warned that this shortfall would undermine the objectives of EUDR and risk disrupting trade in the sectors covered by the legislation.
EUDR was originally scheduled to come into effect on 30 December 2024 but was pushed to December 2025 following industry pressure. Large companies were expected to comply by the end of 2025, while small and medium-sized businesses would have until June 2026. The Commission’s latest proposal extends the compliance period for all operators by an additional year.
The delay has drawn mixed reactions from industry and civil society. Mondelez International had called for a further extension earlier this year, arguing that the regulation must be “workable” in practice.
However, Nestlé and Ferrero co-signed a letter urging the Commission to uphold the “swift and ambitious implementation” of EUDR.
Environmental organization WWF criticized the move, saying it would create “massive stranded costs” for businesses already investing in compliance. Anke Schulmeister-Oldenhove, forest policy manager at WWF’s European policy office, said the decision reflects a lack of political will to ensure timely implementation and undermines the EU’s environmental credibility.
The Commission’s announcement coincided with the conclusion of trade negotiations between the EU and Indonesia. Brussels reported that EU agri-food exports to Indonesia, primarily dairy and animal products, reached €1 billion (US$1.18 billion) in 2024, while Indonesia’s main agricultural exports to the EU include palm oil, cocoa and coffee.
Asked about the timing at a press briefing, Roswall said the trade talks and the EUDR delay were unrelated, adding that combating deforestation remains critical for the European Union and global sustainability efforts.
This latest proposal will now be reviewed by the European Parliament and member states before a final decision is made.
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