Supply chain traceability under the EUDR, in accordance with Due Diligence System (DDS)?
Due diligence system is framework and method to prove that commodities comprising, or derived products were compliance with these Regulation 2023/1115 of the European Parliament and of the Council (Hereafter: EUDR) to prove that the products do not originate from recently deforested land or have contributed to forest degradation after December 31, 2020 and complied legislation of the country of production which operators shall be exercise due diligence regarding all relevant products supplied by each supplier by including step of collection of information data and documents, risk assessment measures and risk mitigation measures
EUDR requirements with FSCTM, PEFC, RSPO, e.g.
Certification products FSCTM, PEFC, RSPO, e.g. can help companies meet EUDR requirements according to widely recognized as one of the most dependable sustainable forestry systems solutions standards, this certification is strongly aligned with the EUDR legality and sustainability requirements and can help companies assess and minimize the risk that relevant forest-based products come from a land which was deforested or degraded and complied legislation of the country of production. However, Operators and traders are still responsible for their own due diligence system and submitted ‘’Due Diligence Statement’’ to EU Information System before placing or export the products on the market.
The Impact of EUDR on Thai Business
Although Thailand was recently classified as "Low Risk" the best possible tier out of the three-level benchmarking system, which helps reduce method of DDS and documentation processes, however challenges on Thai businesses still navigate primary hurdles such as traceability and rising costs across personnel, technology, and operations. There is a critical need to prove product origin through geolocation data, alongside potential difficulties such as a lack of cooperation within the supply chain and the limited competitive capacity of smallholder farmers and SMEs.
However, the EUDR also presents a significant opportunity for Thai enterprises. By successfully adapting and elevating production standards, businesses can gain a competitive advantage in the global market and enhance Thailand's reputation as a leader in sustainable agricultural production.
