EU Deforestation Regulation on Coffee Summary

What Coffee Producers Need to Know about New Traceability Regulations

Author

M-Cultivo
January 23, 2024

EU Deforestation Regulation Summary for Coffee Producers

Last year the European Union (EU) introduced new deforestation regulations regarding the traceability of commodities, including coffee. These EU deforestation regulations, known as the EUDR, are set to take effect on December 30, 2024. Coffee supply chain compliance with the EUDR is required in order to continue to access the European coffee market, making it essential for supply chain actors to understand, and remain up to date with current regulations.

We are summarizing the EU deforestation regulation on coffee so you can remain compliant and competitive. The objective behind the EU's decision to regulate coffee traceability is to ensure that coffee products entering its markets are responsibly sourced and free from sourcing from deforested land. By understanding the origin of each coffee, consumers can make informed choices, and regulators can better enforce trade habits that do not contribute to global deforestation.

Traceability Requirements for Coffee

  1. Documentation: Farmers and coffee aggregators must maintain comprehensive records of the entire supply chain journey of their coffee beans from the moment they are harvested, referencing the plots with geolocation tools, up to their entry into the EU.

  2. Digital Tools: Using technology to house data is recommended for tracking to provide real-time updates and ensure accuracy. Solutions like CultivoPro, our digital database have gained prominence.

  3. Third-party Verification: The EU suggests third-party organizations to verify the traceability data provided by farmers.

What EU Deforestation Regulation Means for Coffee Producers

Initial setup costs for traceability systems might be significant because implementing traceability mechanisms may require changes in harvesting, storing, and shipping methods to ensure data accuracy. It is still unclear which supply chain actors will be responsible for the bulk of those costs just yet, and it will likely vary greatly by each country and exporting relationship. But, there are likely long-term benefits in the form of sustained market access, potential premium pricing, and enhanced consumer trust for those who adopt solutions early on.

Compliance boosts your brand's image. When retailers and consumers see that a producer adheres to stringent traceability standards, it instills trust and loyalty.

Compliance helps future-proof your business. As more markets worldwide move toward traceability requirements, early adaptation prepares producers for evolving global demands.

Next Steps

Our CultivoPro platform aims to simplify this transition for coffee producers through user-friendly tools that support compliance with the EUDR.

Interested in gaining a deeper understanding of the EUDR? Book a call to understand how we can help you through this compliance process.

You can also review the requirement document here, and stay tuned for more on how M-Cultivo can assist coffee producers in complying with regulations.

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