CAOBISCO calls for urgent EUDR update, the EC responds

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Days after Europe’s chocolate, biscuit and confectionery organisation asks for immediate guidance on the upcoming European Union’s Deforestation Regulation, the European Commission releases its proposal to push back its implementation date.

The representatives for Europe’s chocolate, biscuit and confectionery industries, CAOBISCO, sought immediate action on the European Union’s Deforestation Regulation (EUDR) implementation date to overcome a lack of clarity and preparedness.

As the planned December implementation deadline for the EUDR loomed, the region’s trade representative pleaded for immediate guidance. CAOBISCO, sought urgent information on how the EUDR would affect confectionery companies when it came into force on its planned 30th December 2024 deadline and what they needed to do to comply with its sustainability requirements.

Pressure had been mounting on cocoa-producing companies to implement and optimise their traceability systems ahead of the planned EUDR implementation. Yet, considerable variations existed between countries around the globe regarding their preparations or calls for pauses to the planned introductory December date

The push for the ability to plan or pause

On 30th September, CAOBISCO, along with other industry representatives, including the European Cocoa Association (ECA); the European Coffee Federation (ECF); Eurocommerce, the voice of Retail and Wholesale in Europe; and FoodDrinkEurope, European Food and Drink Industry, sent a letter to the President of the European Commission, Ursula von der Leyen.

Forming a coalition of organisations, the companies represent those affected by the upcoming EUDR and, therefore, sought clarification on how the new rules will change their confectionery operations throughout their supply chain.

Dubbed a “collective plea from the industry”, CAOBISCO emphasised the pressing need to receive confirmation and clarity on how best to navigate the EUDR’s requirements. It also asked for effective tools to support confectionery players throughout the supply chain in meeting the regulation’s stipulations.

The organisation thanked the President and the wider EC for the recent Commission Expert Group meeting held on 24th September, and the EUDR updates it provided.

However, it stated that while the other signatories on the letter may have differing opinions on the EUDR’s implementation, they have united to ask for the immediate release of the latest and modified Frequently Asked Questions (FAQs) and guidance documents.

Seeking answers and guidance

With less than 100 days until the EUDR’s anticipated arrival and with no extension to the planned implementation date in sight, concerns about the exact expectations and requirements for its introduction were unknown.

CAOBISCO put forward the necessity in urging the EC to act and not delay guidance any further. The organisation and others were calling for these documents to tackle the issues with the information system, including its interface capabilities and geolocation files.

The organisation stated that without these FAQs and guidance documents, EUDR’s arrival and subsequent implementation would be significantly and negatively affected due to a lack of information and insufficient time to prepare. As a result, this would cause uncertainty and undermine confectionery companies’ extensive efforts, including sizable investments, to prepare and meet the regulation’s goals.

Further delays in information on the EUDR and its upcoming introduction into European law risk causing challenges for companies in the confectionery sector that do not have adequate knowledge of how the EUDR will impact their organisation’s operations, CAOBISCO argued. Trying to balance adhering to the EUDR’s sustainability credentials and legal obligations presents hurdles for companies ahead of the EUDR’s arrival.

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CAOBISCO urged the Commission to “prioritise the dissemination of guidance and tools in the coming days”. It said it knows “a collaborative approach is vital for both protecting and restoring the world’s forests and ensuring economic viability for the industries involved”.

“We plead with the Commission to prioritise the publication of these materials and tools in the next few days to ensure that all stakeholders can move forward with the clarity and certainty required for effective compliance,” the coalition of organisations wrote in the letter.

European Commission announces deadline delay

Then, on 2nd October, as reported in breaking news by Food Navigator and Confectionery News, the Commission announced a U-turn, eradicating the end-of-year deadline and, instead, proposing a delay.

It seemed the European Commission listened, following calls for more certainty and clarification if the end-of-year deadline was still going ahead. In the same week that the three-month countdown to the EUDR’s introduction began, it’s now been strongly suggested that it’s not. Instead, under the Commission’s proposal, the deadline will be pushed back a year to December 2025 and June 2026 for SMEs.

Making the announcement, the Commission says, “since all the implementation tools are technically ready, the extra 12 months can serve as a phasing-in period to ensure proper and effective implementation”.

The Commission believes that the extra 12 months will provide additional clarity to companies and relevant authorities to help companies prepare for the rules’ introduction. Three months ahead of the intended implementation date, it stated, “several global partners have repeatedly expressed concerns about their state of preparedness, most recently during the United Nations General Assembly week in New York”.

The Commission also noted that the amount of preparations among European stakeholders is uneven, noting that while many are expected to be ready in time, others worry they won’t have completed all their necessary preparations.

It hopes the 12-month additional time to phase in the system is a balanced solution that will support global operators in securing a smooth implementation from the start of its phase-in period. “The extension proposal in no way puts into question the objectives or the substance of the law, as agreed by the EU co-legislators,” the Commission states.

However, it’s not been welcomed by all. “The European Commission’s proposal to delay the enforcement of the EU Deforestation Regulation is disappointing,” said Stientje van Veldhoven, Vice-President and Regional Director for Europe of World Resources Institute, in a statement. “It sends the wrong signal to national governments, both within and outside the EU, as well as to business partners, suggesting that the creation of a deforestation-free commodity market can wait,” added van Veldhoven.

As of 4th October, CAOBISCO had not published a statement in response to the Commission’s update to its proposal to postpone the EUDR implementation date.