Deforestation-free supply chains
Who is affected?
The regulation applies to the following commodities and products made thereof:
Cattle, cocoa, coffee, oil palm, rubber, soya and wood.
Companies that place these products and commodities on the EU market, make them available on the EU market or export them from the EU are affected by the Regulation - regardless of the number of employees or a registered office in Germany.
When does the Regulation apply?
The Regulation will apply to EU companies from 30 December 2024 onwards. For small companies, the Regulation will apply from 30 June 2025 onwards.
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What is to be done and how can GvW support you?
If companies intend to place concerned goods on the European Union market, make them available or export them from the European Union, they must demonstrate that these goods are deforestation-free, have been produced in accordance with the relevant legislation of the country of production and they must submit a due diligence declaration. In practice, this means that suppliers must confirm that they are almost fully compliant with local law. In addition, freedom from deforestation must be demonstrated in accordance with the definition of the Regulation's criteria. Furthermore, the due diligence declaration must include the commodity tariff numbers as well as the geo-location of the goods concerned. Similar to the German Supply Chain Due Diligence Act, the regulation requires
- carrying out risk analyses on an annual basis
- collecting information, and
- implementing risk management systems to mitigate risks.
The regulation therefore combines supply chain compliance and foreign trade compliance.
We have extensive expertise in both the area of supply chain compliance and export as well as customs compliance. In particular, we advise you on the following
Legal review of the applicability of the regulation to your company
Assistance with risk analysis
Assistance in setting up a risk management system taking into account customs and supply chain specific requirements
Advice on complaints and representation in administrative and litigation proceedings
Representation in administrative penalty proceedings in the event of infringements of the Regulation
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