BRUSSELS / LONDON (IT BOLTWISE) – The European Commission plans to relax deforestation regulations to ease the burden on companies. This decision is met with mixed reactions: While business welcomes the reduction in bureaucracy, environmental groups warn about the potential negative impact on global ecosystems. The regulation, originally aimed at preventing deforestation in forests such as the Amazon, could now be delayed in its enforcement.
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The European Commission has put forward a proposal to relax deforestation regulations, aiming to reduce bureaucratic requirements for companies. The regulation was originally intended to ensure that products such as coffee, cocoa, soy and beef did not contribute to deforestation. Now retailers and downstream actors in the supply chain are to be exempted from the obligation to submit digital due diligence declarations. Only the first provider of a product in the EU would still be obliged to do so.
The planned relaxation of the regulation has led to a controversial debate. While business representatives, particularly from the forestry industry, welcome the reduction in the bureaucratic burden, environmental groups express concerns. They fear that weakening the regulations could jeopardize the protection of global ecosystems. The regulation, which was originally supposed to come into force at the end of 2024, has already been postponed by a year. The Commission now plans to further delay enforcement by six months for large and medium-sized companies and 12 months for micro and small companies.
In addition to the time shifts, the reporting requirements should also be simplified. Companies from low-risk countries would then only have to submit a one-off, simple declaration, provided the information is not already contained in a national database. These changes are intended to further reduce the administrative burden on companies.
The Commission’s proposal must now be examined by the European Parliament and the EU states. A compromise between institutions is required to implement the changes in a timely manner. Agriculture Minister Alois Rainer from the CSU has also expressed criticism and is calling for a special category for countries like Germany where no deforestation takes place. In his opinion, less strict rules should apply to corresponding products.
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