EU Adjusts Anti-Deforestation Law for Smallholders & Businesses

The European Commission proposed easing the EU anti-deforestation law's reporting requirements for smallholders and businesses. The law, targeting imports linked to deforestation, was delayed until December 2025. Trade partners and industries have expressed concerns over economic impacts, while the proposal awaits approval from EU governments and the European Parliament.

The European Commission has adjusted its stance on the EU anti-deforestation law, easing the reporting requirements for numerous smallholders and businesses. Initially set to commence at the end of 2024, the legislation aims at halting imports tied to forest destruction but has faced delays, pushing its start date to December 30, 2025.

This shift comes amid substantial pushback from industries and governments who argue that the EU's green agenda is overly burdensome. Trade partners, including Brazil, Indonesia, and the United States, have also expressed concerns about the financial repercussions of the rule changes on their exports to Europe.

Under the latest changes, low-risk countries like the United States, Canada, India, China, and Australia will require their smallholders to make a single declaration to register as operators. Conversely, larger companies will face enforcement from mid-2026. This proposal still needs approval from EU governments and the European Parliament, hinting at possible future revisions.

(With inputs from agencies.)