Irish businesses in beef and forestry face challenges as new EU deforestation rules demand ‘deforestation-free’ certification, with severe penalties for non-compliance.
The EU Deforestation Regulation (EUDR), which will take effect on 30 December 2024, is designed to combat forest degradation by imposing strict compliance obligations on businesses trading in specific goods with the EU.
For Ireland, this means that companies exporting beef products, wood and other related commodities will need to demonstrate that their products are ‘deforestation-free’.
Products such as beef and processed beef items, and wood products must be certified as ‘deforestation-free’. This certification means they must not have been produced on land deforested after 31 December 2020. Failure to comply could result in severe penalties, including fines, confiscation of goods, and exclusion from public procurement opportunities.
Given Ireland’s significant beef export market, this regulation could place additional pressure on farmers and processors to ensure compliance.
Moreover, the forestry sector, which plays a large role in the rural Irish economy, will need to adapt quickly to avoid penalties.
The EUDR outlined a range of penalties for non-compliance, including:
• Fines proportional to the environmental damage and value of the commodities, with escalating penalties for repeated offences;
• Confiscation of non-compliant products and revenues from their sale;
• Temporary exclusion from public procurement processes and access to public funding for up to 12 months; and
• Prohibition from placing products on the market or exporting them in the event of serious or repeated infringements
It is advised that businesses start preparing now to avoid penalties for non-compliance or face severe consequences in the EU market, with the December 2024 deadline fast approaching.
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