Understanding EUDR Due Diligence Obligations for Palm Oil Exporters
The EU Deforestation Regulation requires operators to prove that products are deforestation-free and legal. What do Indonesian suppliers need to prepare?
Regulation (EU) 2023/1115 on deforestation-free products (EUDR) covers palm oil and its derivatives. Operators placing products on the EU market must carry out due diligence and submit a due diligence statement.
Three key points must be demonstrated: the product does not originate from land deforested after 31 December 2020, it was produced in accordance with the relevant legislation of the country of production, and it is accompanied by geolocation data for every plot of land where the commodity was produced.
For Indonesian suppliers, the most critical preparation is building traceability down to plantation level, including for FFB supplied by third parties and independent smallholders. Certification such as ISCC can serve as a foundation, but does not automatically replace the operator's due diligence obligations.