Leading agri-food companies including Nestlé, Ferrero, and Olam Agri have warned that further delays to the European Union’s anti-deforestation law risk worsening global forest loss and undermining climate action.
In a letter sent to EU Commissioner Jessika Roswall, seen by Reuters, the companies expressed concern over the EU’s proposal to postpone the law’s implementation for a second time. The delay, justified by the European Commission as necessary to address information technology readiness, could push back the planned ban on imports of commodities linked to deforestation—such as palm oil, soy, and beef—by another year.
The letter, dated 2 October, stated that the companies had been investing heavily to meet the EU Deforestation Regulation (EUDR) obligations by 31 December 2025 and that further delays would “put at risk the preservation of forests worldwide, accelerate climate change impacts, and undermine trust in Europe’s regulatory commitments.”
The signatories, which operate across the cocoa, dairy, rubber, wood, and other agricultural sectors, argued that the postponement would create uncertainty, frustrate shareholders, and risk weakening the policy. “Clear rules are essential for EU competitiveness,” the companies said, adding that changing course at this stage would contradict the EU’s goal of simplifying business regulations.
“Having greater transparency over supply chains is essential for managing risks,” said Francesco Tramontin, Vice President for Institutional Affairs at Ferrero Group.
The EU Deforestation Regulation, initially set to take effect on 30 December 2025, will require operators selling products such as soy, beef, and palm oil in the EU market to provide proof that their supply chains are free from deforestation.
The legislation has faced resistance from industry groups and major trading partners including the United States and Brazil, who have raised concerns about trade impacts. Commissioner Roswall stated last week that the delay was not related to U.S. pressure.
