Regulation on deforestation-free supply chains

Regulation on deforestation-free supply chains published in the EU Official Journal

On 09.06.2023, Regulation (EU) 2023/1115 of the European Parliament and of the Council of 31 May 2023 on the making available on the Union market and the export from the Union of certain commodities and products associated with deforestation and forest degradation and repealing Regulation (EU) No 995/2010 was published in the Official Journal of the EU.

Regulation (EU) 2023/1115 introduces comprehensive due diligence requirements to protect global forests against deforestation and exploitation in connection with the production of various agricultural commodities and products (we have already reported on the due diligence requirements in detail: Regulation on Deforestation-Free Supply Chains). The aim of implementing the due diligence requirements is to ensure that these agricultural commodities and products made from them are not placed on the market if their production has led to deforestation or forest degradation or, in any case, if there is a more than negligible risk of this.

In terms of time, the requirements will enter into force on 29.06.2023 (Art. 38 para. 1) and will in principle be applicable from 30.12.2024 (Art. 38 para. 2). In this context, it should be explicitly noted that the effective date was explicitly not set for 01.01.2025, so that the two days remaining in 2024 from the effective date should be taken seriously, in order to avoid compliance gaps. For companies that were classified as SMEs on the cut-off date of 31.12.2020, the obligations will only take effect from 30.06.2025 (Art. 38 para. 3). With regard to the interaction of the new Regulation (EU) 2023/1115 with the previous Timber Trade Regulation (EU) No. 995/2010, special transitional provisions under Art. 37 of Regulation (EU) 2023/1115 apply.

In connection with the previous Timber Trade Regulation, it should also be noted that in Annex I of Regulation (EU) 2023/1115 a considerable expansion of the timber products covered has been made. This concerns, for example, wood products of CN numbers 4402 (charcoal), 4405 (wood wool; wood flour), 4417 (tools, handles, shoe trees, etc., of wood), 4419 (articles of wood for table or kitchen use) and 4421 (other articles of wood). Consequently, a large number of economic operators related to wood will also be affected in the future, which were previously not within the scope of the due diligence requirements under the Timber Trade Regulation.

Link to the promulgation in the Official Journal of the EU: Abl. v. 09.06.2023 – L 150/206.

Do you have any questions about this news or would you like to discuss it with the author? Please feel free to contact: Michael Öttinger