EUDR Knowledge Hub

The EU Deforestation Regulation (Regulation (EU) 2023/1115), adopted in May 2023, aims to ensure that products placed on the EU market or exported from it do not contribute to deforestation or forest degradation. It requires that commodities such as palm oil, cocoa, soy, coffee, and timber, among others, originate from land that has not been deforested or degraded after December 31, 2020, and that they are produced in a legally compliant manner.

The EUDR applies to commodities such as cocoa, coffee, palm oil, soy, timber, rubber, and cattle (including beef and other cattle-derived products), along with their derivatives like chocolate, furniture, and paper-based packaging.

Your product must comply if it contains any of the regulated commodities — cattle (beef), cocoa, coffee, palm oil, soy, timber, or rubber.

Not all derived products are automatically covered. Only those specifically listed under Annex I (HS codes) fall within scope, such as chocolate, wooden furniture, palm oil derivatives used in food and cosmetics, etc.

The EU Deforestation Regulation (EUDR) was adopted in May 2023.

As per the 2025 update, the compliance deadlines are:

• Large and medium-sized companies must comply by 30 December 2026.
• Small and micro-enterprises must comply by 30 June 2027.

SMEs must comply just like larger businesses, but they may face resource challenges. Freyr offers cost-effective solutions tailored for SMEs.

SMEs can reduce costs by leveraging existing sustainability certifications, streamlining due diligence, and working with trusted suppliers. Freyr provides cost-effective solutions for SMEs.

Yes, the EUDR applies to all businesses that import regulated products into the EU, regardless of the country of origin. The regulation requires businesses to ensure that products are not linked to deforestation or forest degradation, no matter where they are sourced from.

Yes, the EUDR also applies to the re-export of goods containing regulated commodities if those goods were imported into the EU previously. Businesses must ensure that these goods meet compliance standards before re-exporting them.

The EUDR specifically targets products entering the EU and requires businesses to prove that these products are not linked to deforestation or forest degradation. Other regulations, such as Brazil's Forest Code or Indonesia's sustainability guidelines, apply to specific countries or regions and often focus on domestic compliance. Businesses need to navigate these regulations in parallel to ensure global compliance.

EUDR compliance may influence global trade by setting a new standard for sustainability in commodity sourcing. Businesses worldwide will need to align with EU regulations to access the EU market, and non-compliant supply chains may face restrictions or additional scrutiny.

A Due Diligence Statement (DDS) is a mandatory declaration confirming that a product or batch placed on or exported from the EU market does not contribute to deforestation or forest degradation.

The DDS must include:

• Geolocation data of the production plots
• Supplier and buyer details
• Quantity and country of production
• Evidence of compliance with local laws
• Assurance of deforestation-free status

Companies are required to retain all due diligence documentation for at least five years to demonstrate ongoing compliance.

The DDS should include product origin, sustainability certifications, environmental risk assessments, and evidence of deforestation-free sourcing.

Through traceability, risk assessments, and submitting Due Diligence Statements (DDS) for each product batch imported into the EU.

Under the updated 2025 guidance, submission of a Due Diligence Statement (DDS) is no longer strictly required for every single batch.

For certain operators, it may be possible to reuse DDS when reimporting goods or to submit DDS less frequently than per batch. These simplifications are still evolving, and companies should follow the latest EU guidance to confirm how the changes apply to their operations.

Under the 2025 simplifications, the DDS does not always need to be updated batch-by-batch. For certain operators, it may be possible to reuse an existing DDS when reimporting goods or to update it less frequently, depending on the stability of suppliers, sourcing practices, and risk assessments. Companies should follow the latest EU guidance to confirm the applicable update requirements.

Yes, Freyr assists with gathering supply chain data and ensuring that DDS submissions meet regulatory standards.

Yes, each supplier must provide relevant information to verify that their products do not contribute to deforestation.

Yes, a centralized EU platform will be used for businesses to submit DDS, making the process more streamlined and transparent.

Freyr provides support in navigating the platform, ensuring that all necessary information is correctly entered and submitted on time.

Businesses should implement robust due diligence practices, maintain traceability, and submit accurate DDS for every product batch.

Yes, submitting false or incomplete DDS can result in fines, suspension of imports, and potential legal consequences. It's critical to ensure the accuracy and completeness of all documentation.

If a deforestation risk is discovered, businesses must immediately update their DDS to reflect the new risk and take corrective action, such as switching suppliers or addressing the issue with the affected supplier. Freyr can assist in navigating the update process and ensuring the documentation is accurate.

Importers, referred to under the regulation as operators or traders, must conduct thorough due diligence across their supply chains. This involves collecting required data, verifying compliance with legality and deforestation-free status, and obtaining plot-level geolocation data for production sites. They must then prepare and submit a valid Due Diligence Statement (DDS) through the official EU Information System to demonstrate compliance.

Yes, businesses must assess the risk of deforestation and forest degradation within their supply chains to ensure products are sustainably sourced.

Risk assessments must be performed for each batch, with robust traceability systems to manage and document assessments.

Under the EUDR, geolocation data (plot-level coordinates) is a mandatory element of due diligence. Companies must provide precise geospatial information for the production plots where commodities originate to demonstrate that products are deforestation-free and legally produced.

While certifications (e.g., FSC, RSPO) can support supply-chain transparency, they cannot replace geolocation data or the mandatory Due Diligence Statement (DDS). Geospatial data is essential for authorities to verify sourcing and ensure compliance.

Traceability requires tracking the origin of raw materials throughout the entire supply chain to ensure that products are deforestation-free.

Corrective action is required, including switching to a deforestation-free supplier or working with current suppliers to implement sustainable practices.

Businesses need to evaluate deforestation risks from different countries, maintain consistent supplier assessments, and track the origin of materials to ensure compliance.

Changes in suppliers should trigger a reassessment of the new partner's sustainability practices, and businesses must update their DDS accordingly.

Risk assessments involve evaluating sourcing regions, checking suppliers' environmental track records, and verifying compliance with sustainability standards.

Full traceability involves collecting and managing data at every step of the supply chain, from the farm or forest to the final product. This requires robust systems, including geospatial data, certifications, and regular audits to ensure that raw materials are sourced responsibly.

Products with multiple sourcing points, especially those with many suppliers or intermediaries, can complicate traceability. Tracking the origin of each raw material and ensuring that each supplier is compliant with the EUDR can be time-consuming and require advanced data management tools.

Businesses must conduct due diligence not only with direct suppliers but also with all suppliers in their extended supply chain. This may involve requiring documentation, conducting supplier audits, and using traceability systems to verify that materials are sustainably sourced.

Under the EUDR, verification must include mandatory plot-level geolocation data for production areas, alongside supplier documentation and risk assessment evidence. Third-party audits and certifications can support transparency, but they are not sufficient on their own and do not replace the required due diligence and the Due Diligence Statement (DDS).

Required:

• Plot-level geolocation coordinates
• Legality evidence
• Risk assessment
• DDS

Supportive but insufficient alone:

• Third-party audits
• Certification schemes (e.g., FSC, RSPO)

Risk mitigation involves diversifying suppliers, engaging in partnerships with sustainable sourcing initiatives, and using traceability technologies to ensure full transparency and reduce reliance on high-risk regions.

Businesses should prioritize higher-risk products and conduct more detailed due diligence and audits for those products, while also applying general due diligence practices to lower-risk items.

Accuracy and verifiability under the EUDR require mandatory due diligence, including plot-level geolocation data, supplier documentation, and risk assessments.

Required:

• Geolocation coordinates of production plots
• Legality evidence
• Risk assessment
• DDS

Supportive but not sufficient:

• Third-party audits
• Certification schemes (FSC, RSPO)

In case of supply chain disruptions, businesses need contingency plans to quickly identify alternate sustainable suppliers, adjust procurement practices, and ensure that their sourcing remains compliant with the EUDR.

Businesses can use satellite data, geospatial mapping tools, and blockchain technologies to track the origin of materials and monitor deforestation risks in their supply chains.

For supply chains with limited transparency, businesses must rely on mandatory due diligence requirements, including plot-level geolocation data, supplier documentation, and risk assessments.

Required:

• Geolocation coordinates
• Legality evidence
• Risk assessment
• DDS

Supportive but not sufficient:

• Third-party audits
• Certifications (FSC, RSPO)

No, the EUDR does not provide exemptions based on certification schemes. While certifications like FSC or RSPO can support supply-chain transparency, they do not replace mandatory due diligence.

All operators and traders must submit a Due Diligence Statement (DDS) and prove products are deforestation-free and legally sourced, regardless of certification status.

Yes, third-party audits help verify supply-chain data and strengthen compliance confidence. However, they are not a substitute for mandatory due diligence.

Businesses must still submit a DDS with geolocation data and risk assessment evidence.

Freyr supports businesses in preparing for and coordinating with qualified sustainability auditors. Third-party audits improve transparency but cannot replace the DDS or geolocation evidence requirements.

By maintaining transparency and sharing validated sustainability documentation, including traceability records, certifications, and DDS evidence.

Yes. Freyr assists in ensuring that DDS and compliance documents are properly prepared, structured, and audit ready.

By using technology for traceability, maintaining clear due diligence workflows, and partnering with experienced compliance teams like Freyr.

Public transparency improves accountability and allows external stakeholders to evaluate sustainability performance and sourcing integrity.

Freyr assists in data documentation, traceability tracking, and publishing compliance-related information where needed to increase external trust.

EUDR recognizes certification schemes like FSC and RSPO as supportive evidence of sustainability. However, certifications do not replace mandatory due diligence steps.

NGOs and environmental bodies help assess deforestation risks, verify sustainability practices, and provide audits or guidance for traceability compliance.

Yes — collaborative data sharing can reduce compliance effort. However, sensitive supplier data must be shared carefully to avoid confidentiality issues.

Yes, existing audits may be used if they meet EUDR criteria. Freyr can help evaluate and align them to regulatory requirements.

Businesses must reassess affected supply chains, correct system gaps, and make compliance adjustments as required by auditors.

Yes. Non-compliance risks reputational damage and trade penalties. Verified compliance strengthens credibility and industry value.

Claims are recognized only when supported by required evidence:

• Geolocation data
• Supplier documentation
• Risk assessments
• DDS

Supportive, not sufficient alone: Third-party audits, Certifications like FSC, RSPO.

Through transparent DDS documentation, traceability records, and geospatial verification.

Supportive but not standalone proof: certifications, audits.

Legal penalties, fines, suspended imports, and reputational damage. Transparent and accurate reporting is essential.

Yes. External firms can independently evaluate traceability and sustainability practices. Freyr can recommend and coordinate auditor partnerships.

By engaging in joint environmental projects, improving sourcing practices, restoring damaged land, and building inclusive sustainability ecosystems.

Yes, Freyr offers services to help businesses evaluate their portfolios and identify which products require EUDR compliance.

Freyr assists by ensuring businesses have accurate documentation, robust traceability systems, and complete Due Diligence Statements (DDS), reducing the risk of errors or omissions that could lead to penalties. Freyr also advises on corrective actions and ongoing compliance best practices.

Freyr provides guidance, prepares Due Diligence Statements, and helps adhere to EU timelines by ensuring businesses meet due diligence requirements before placing products on the market.

Freyr helps evaluate suppliers' sustainability practices, recommends compliant partners, and assists in transitioning to new suppliers when necessary.

Freyr provides support in navigating the platform, ensuring that all necessary information is correctly entered and submitted on time.

Yes, Freyr supports maintaining up-to-date compliance processes, monitoring regulatory changes, and preparing reports for ongoing compliance needs.

Yes, Freyr assists businesses in preparing for audits by ensuring that their Due Diligence Statements, supplier information, and traceability records are complete and accurate.

Freyr conducts comprehensive risk assessments to identify potential deforestation or forest-degradation risks within the supply chain.

Yes, Freyr provides guidance and expertise to help businesses develop sustainable sourcing policies that promote responsible supply chains.

Freyr provides in-depth risk assessments, guidance on sustainable sourcing practices, and strategies tailored to the challenges of high-risk regions.

Freyr assists businesses in tracking and documenting compliance across consortium members, ensuring all parties maintain traceability and compliance with EUDR standards.

Freyr monitors regulatory updates and shares insights with businesses to help them anticipate and prepare for future compliance requirements.

Freyr helps businesses revise and update their procurement policies to ensure they align with EUDR regulations and promote responsible sourcing.

Freyr assists businesses in evaluating suppliers from different regions to ensure compliance with local environmental regulations.

Freyr works with businesses to incorporate EUDR compliance into overall sustainability strategies, ensuring responsible sourcing and transparent supply chains.

Freyr supports new companies by helping them establish due diligence procedures, understand compliance requirements, and build robust systems for sustainability.

Penalties for non-compliance may include fines, suspension of import activities, confiscation of non-compliant goods, and reputational damage.

Documentation must be retained for at least five years from the date of market placement.

Failure to comply may result in fines, suspension from the EU market, and potential legal consequences. Businesses must take EUDR compliance seriously to avoid these risks.

Missing the compliance deadline may lead to penalties, including fines and suspension of business operations until compliance is demonstrated.

Businesses should monitor regulatory updates regularly to stay informed about changes to deforestation-related regulations.

Businesses must select suppliers that can provide deforestation-free products and meet EUDR requirements.

Businesses should gather all relevant compliance documentation, maintain traceability across their supply chains, and ensure they are ready for audits under the EUDR.

The EUDR is part of the global effort to combat deforestation and its associated environmental impacts. It may intersect with other environmental regulations in different countries and industries.

New suppliers must undergo assessment and documentation to ensure they meet compliance requirements.

Collaboration helps ensure that all parties meet EUDR requirements and achieve sustainability targets.

Yes, businesses can rely on suppliers who meet EUDR standards to simplify their own compliance efforts.

While other sustainability initiatives can support compliance, businesses must adhere to EUDR-specific requirements.

Companies should intensify due diligence efforts and work closely with suppliers to verify compliance.

Risk profiles should be reassessed regularly, especially when supply chain changes occur.

The EUDR applies to all tiers of suppliers involved in the production of affected products.

Businesses must trace all materials to ensure they meet EUDR requirements, even if they come from different suppliers.

The EUDR does not apply retroactively. It applies to products placed on or exported from the EU market from June 2023 onward.

Businesses may need to update labeling to reflect compliance with EUDR requirements.

Businesses should train employees through internal workshops, e-learning modules, and regular updates to ensure adherence to compliance standards.

Businesses can begin risk assessments, gather documentation, and engage with experts like Freyr to prepare for EUDR compliance.

Yes, digital platforms can assist in tracking supply chain data and monitoring responsible sourcing practices.

Geospatial technology provides data on the origin of raw materials, helping businesses track whether products were sourced in a deforestation-free manner.

NGOs can help identify deforestation risks, educate stakeholders, and collaborate with businesses on sustainability efforts.

Businesses should engage with local communities, share resources, and work together on sustainability initiatives that maintain ecological balance in the supply chain.