The commerce sector is relieved about the Commission’s proposed one-year extension to the implementation of the Deforestation Regulation
Today, the EU Commission has proposed a 12-month extension to the implementation of the Deforestation Regulation, which the commerce sector has been proposing for a long time. The implementation of the regulation has been unusually unclear for companies in the absence of the Commission’s guidelines.
The Commission’s Deforestation Regulation was scheduled to become applicable on 30 December 2024. The aim of the regulation is to ensure that products consumed in the EU do not cause deforestation or degradation of forests globally. Among other things, the regulation requires companies to report exceptionally detailed information – which is difficult to obtain from countries outside the EU, for example – in selected product groups. During the transition period, the Commission has not been able to provide sufficient guidance to companies to support implementation.
The Commission has now proposed that the implementation of the Deforestation Regulation be postponed by one year. If the law is approved by the European Parliament and the Council, it will be applied to large companies on 30 December 2025 and to micro and small companies on 30 June 2026.
The Finnish Commerce Federation thanks the Commission for the proposal to postpone and is pleased that the Commission has heard the industry’s voice.
“The commerce sector fully agrees with the aims of the Deforestation Regulation, but its content was unclear and it would have been impossible to implement following the original schedule,” says Kari Luoto, Managing Director of the Finnish Commerce Federation.
Commerce considers it important that companies are given the opportunity to implement the Deforestation Regulation rationally and that the EU does not weaken the competitiveness of companies. This ensures effective application that prevents deforestation and does not create unnecessary bureaucracy in companies.
“Right now, it is important that Parliament and the member states listen to the voices and concerns of companies by approving the extension,” Luoto says.
Further information: Kari Luoto, Managing Director, tel. +358 (0) 400 688 708, kari.luoto@kauppa.fi