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How the EU can achieve deforestation-free supply chains

Transaction-level records are crucial to curbing the destruction of the world’s forests

    • At this site near Phonhong in Laos, trees were cleared for development, July 2022.
    • At this site near Phonhong in Laos, trees were cleared for development, July 2022. PHOTO: REUTERS
    Published Mon, May 29, 2023 · 03:38 PM

    By Joann de Zegher

    DEFORESTATION, which accounts for roughly 25 per cent of global greenhouse-gas emissions, is primarily driven by commodity production for global markets. Legislation recently enacted by the European Union (EU) aims to curb deforestation by banning the import of commodities and products linked to it. The measure represents an important step forward, but gaps in critical data are set to undermine its effectiveness.

    The new law requires companies to provide a due diligence report detailing the “country of production”, “geographic coordinates… of all the plots of land where the relevant commodities and products were produced”, the “time range of production”, and “verifiable information that the relevant commodities and products are deforestation-free”. In other words, companies must prove that their supply chains are deforestation-free.

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