🔗 Share this article European Union Deforestation Regulation Effectively 'Watered Down' After Initial Fanfare It was a groundbreaking law that would curb the global scourge of forest loss. But, the revised version of the EU's anti-deforestation law, once heralded as the crown jewel of the Green Deal, has emerged in a severely weakened state, leading to alarm from its initial author and environmental politicians. "The regulation was hollowed out," stated Hugo Schally, citing the removal of key obligations for downstream traders to verify the origin of commodities like coffee, cocoa, beef, soy, palm oil, rubber and timber. Schally cautioned that a reduced number of responsible companies, less information collected, and less precise origin data would hinder monitoring and legal action. A Watered-Down Law Green party vice-president a leading green politician went further, labeling the postponements, exceptions and new loopholes – such as one for paper goods – as the "systematic weakening" of the law. This outcome stands in stark contrast to the hopes of over 1.2 million EU citizens who signed a petition in 2020 calling for a ban on deforestation-linked products. When launched in 2021, the EU's climate chief Frans Timmermans trumpeted it as "the most ambitious legislation proposed to combat deforestation." From Ambition to Compromise The law's unravelling is seen by critics as the European Union retreating from its green talk. The proposal encountered significant delays, reportedly over technical problems, which sparked criticism. "By revisiting the legislation rather than fixing a simple IT problem, authorities invited political interference," remarked Toussaint. In its first draft, the regulation required companies to track goods to their exact plot of land using GPS coordinates, holding them accountable for forest loss along their supply lines with criminal charges and hefty fines. "This was not red tape for its own sake," the former official explained. "It was the mechanism that ensured enforcement, created a verifiable paper trail, and stopped companies from hiding behind opaque production networks." Intense Lobbying Yet, the rigorous checks provoked opposition in the EU capital from multinational corporations, producer countries, rightwing parties and EU logging states. Analysts point to last year's EU elections as a decisive moment, shifting the balance of power less favorable toward environmental rules. "The other pressure has come from major export markets outside the EU," noted corporate sustainability professor, implying the commission gave in to some requests during negotiations. The Weakened Final Text In the final legislation includes key dilutions: Retailers and traders were mostly exempted from conducting rigorous checks. A new exemption for small operators was introduced. A option for more reductions was established for next spring. Only four countries – Russia, Belarus, North Korea and Myanmar – will face the strictest monitoring. "Rather than strengthening rules for companies, it stripped them back," lamented the law's author. "By shifting responsibilities upstream, it lessened the number of responsible firms." Business Frustration The delays and changes have also created annoyance for businesses that complied early. "It is very frustrating because we put a lot of effort into complying," said a coffee company executive. "We invested in software, followed seminars and built a team... now they’re saying it may be changed. It’s a big frustration." The Commission's Stance A commission spokesperson supported the final law, stating: "The commission has responded to concerns and acted to ensure a simple, fair and cost-efficient implementation." "The revised regulation provides for predictability, which is crucial for companies and national regulators to successfully implement this very important law."