EC proposal for mandatory due diligence legislation to end deforestation  

On 17 November 2021, the European Commission (EC) presented its long-awaited proposal for a regulation on the basis of which only deforestation-free commodities and products may be placed on the EU market. This goal is consistent with the existing efforts of our palm oil community. Over the past years, EPOA members have made serious efforts to make the palm oil sector more sustainable and have called upon food producers and retailers to increase their uptake of sustainably produced palm oil. In 2020, 90% of the palm oil in the EU market for the usage of food, feed and oleochemicals was certified sustainable. But in order to reach 100%, there is a clear role for EU regulation, EPOA chair Frans Claassen stated in 2020 already.

Companies placing the relevant commodities and products, such as soy, beef, palm oil, wood, cocoa and coffee, on the EU market will be required to put in place and implement due diligence systems to prevent the using of products linked to deforestation. They will be monitored and held accountable by enforcing authorities if they fail to comply with the requirements of the Regulation. As far as palm oil is concerned, we know that our influence can impact the global supply chain, with EU-27 being the second largest consuming region of palm oil globally.

At the same time, it does not end with Europe. To increase impact further, we need to support European players with a global reach that work closely together with producing countries and local players. As stressed by Nicolas Perez, from Fedepalma, Colombia, at SPOC 2021: we should secure European market access for small farmers and producing landscapes. “Cooperation with producer countries and aligned efforts with other emerging consuming countries such as India and China are key to achieving a global sustainable supply chain”, he stated.

The European Palm Oil Alliance (EPOA) and its members work towards a sustainable and deforestation-free palm oil supply chain. This is all but an easy task. It asks for resilience, courage, belief, and a strong will to help those who do not earn a living income or a living wage. Together with constructive NGOs who work to transform the palm oil sector towards becoming fully sustainable, as well as with market actors and governments, we aim to deliver sustainable solutions and establish landscapes for the sustainable sourcing of palm oil. At the core is our joint belief that a sustainable and deforestation-free palm oil supply chain is not only possible, but essential.

The EPOA secretariat is working on an EPOA position paper on the proposed EU Regulation, that will be available soon.