The European Commission is weighing another one-year delay to the implementation of the EU Deforestation Regulation (EUDR), citing concerns that existing IT systems cannot manage the volume of data required by the law.

The move would mark the second postponement of the EUDR, following a previous one-year delay agreed by EU lawmakers last year. Initially introduced in November 2021, the regulation is designed to ensure that products entering or leaving EU markets do not contribute to deforestation or forest degradation. It covers major commodities such as palm oil, beef, timber, coffee, cocoa, rubber, and soy, along with derivative goods like leather, chocolate, tires, and furniture.

Under the regulation, companies will be required to carry out strict due diligence, including tracing products back to their original plots of land to prove they were not produced on deforested land after 2020, and verifying compliance with local production laws.

The Commission previously justified delays by pointing to uneven levels of preparedness both in the EU and among trading partners. Earlier this year, the EUDR also faced challenges after Parliament rejected its country risk benchmarking system, with some MEPs calling for a “no risk” category that would exempt certain countries from compliance requirements.

In a letter to ENVI Committee Chair Antonio Decaro, EU Commissioner Jessika Roswall explained that testing showed the IT system needed to support the EUDR could face “unacceptable slowdowns” or “long-lasting disruptions,” which could undermine the law’s goals and disrupt trade flows.

While stressing that the EUDR remains a cornerstone policy to curb global deforestation and ensure sustainable supply chains, Roswall said the Commission is considering postponing its application by one year to give stakeholders and authorities more time to prepare and to address IT infrastructure risks.

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