The recent changes in the EUDR regulation proposed by the European Commission confirm that the regulation will move forward for medium and large companies starting in December 2025, with a six-month grace period.
During this time, inspections will be carried out, although no penalties will be applied as long as companies continue to exercise due diligence.
This proposal still needs to be approved by the European Parliament and the Council, but all indications suggest that companies will have to adapt their systems and processes before the end of 2025.
In practice, this means strengthening traceability and control over supply chains for products subject to the regulation.
These changes do not only imply technical or administrative adjustments, but rather a transformation in the way companies manage ESG data.
The EUDR serves as a clear reminder that measuring, managing and correctly reporting data is essential to remain competitive in the European market.
In the following sections, we will analyze what these modifications entail, who they affect, and how companies can effectively prepare to comply with the regulation.
The updated EUDR timeline confirms that the regulation will advance with a progressive approach.
The European Commission remains committed to implementing the rule gradually, ensuring that companies have sufficient time to adapt to the new due diligence and traceability requirements.
From this date onward, medium and large enterprises must fully comply with the obligations set by the EUDR.
This includes establishing mechanisms to verify product origin, monitoring supply chains, and collecting the necessary information to prove that raw materials do not come from deforested areas.
Between January and June 2026, the Commission has established a grace period.
During these months, controls will take place without penalties, but companies will still be required to continue exercising due diligence.
This period aims to facilitate a gradual start to the system and allow businesses to adjust internal processes before the beginning of formal inspections.
Micro and small companies will have one additional year of preparation.
Their compliance date is set for December 30, 2026, giving them a longer timeframe to organize their data, define procedures, and adapt their systems to the technical requirements of the regulation.
It is worth noting that the proposed measures are still pending approval by the European Parliament and the Council, which means minor adjustments could occur before final publication.
However, all indications suggest that the schedule will remain unchanged and that effective compliance will begin at the end of 2025 for larger enterprises.
Beyond the specific dates, this timeline represents a clear transition toward a more structured and traceable ESG data management.
Centralizing information and ensuring its reliability will not only make EUDR compliance easier, but will also allow companies to reuse the same data across other regulatory frameworks and certifications, from CSRD to the EU Taxonomy.
Organizations that adopt this integrated vision will be better positioned to face the regulation, turning sustainability management into a strategic lever for competitiveness.
The EUDR update proposal introduces a series of key adjustments aimed at facilitating practical implementation and ensuring that the system is operationally viable.
These changes seek to balance the burden among different types of companies, maintain traceability, and strengthen the technological system that supports the entire due diligence process.
One of the most significant updates is the reduction of administrative burdens for micro and small enterprises, especially those located in low-risk countries.
These companies will be allowed to submit single declarations in the EUDR IT system, avoiding repetitive reports and speeding up the procedures required to prove compliance.
The requirement to send multiple declarations will also be removed for operators marketing products already registered by an importer.
This centralizes responsibility and simplifies information flows within the supply chain.
The European Commission has strengthened the EUDR IT system with the goal of handling millions of declarations securely and reliably.
This redesign aims to ensure better traceability and interoperability with national and regional databases, reducing both errors and duplications.
Additionally, downstream operators, such as manufacturers or distributors, will not need to duplicate due diligence declarations when products have already been registered by the operator who first placed them on the market.
This helps optimize workloads and improve data consistency throughout the entire chain.
The main responsibility now lies with operators introducing products into the European market.
Only one initial declaration per product or batch of origin will be required, simplifying the process but raising the bar for data quality and traceability.
Companies must ensure complete traceability down to the plot or source of origin, collecting detailed information on location, production date and volume to prove that their products do not originate from deforested areas.
The EUDR maintains its scope over operators involved with wood, rubber, palm oil, soy, beef and coffee, as well as all derivative products.
The regulation affects both EU importers and non-EU suppliers who trade with the European market.
Operators from low-risk countries will benefit from simplified procedures to facilitate their inclusion in the system.
Micro and small producers will be able to submit a single digital declaration, or even rely on existing national registries when the information is already available.
The aim of these measures is to ensure inclusiveness across all actors in the supply chain without compromising traceability or data reliability.
By doing so, the Commission seeks to make EUDR compliance realistic, proportionate and technically feasible for all parties involved.
The EUDR changes redefine the responsibilities of companies according to their size and role within the supply chain.
Not all will need to apply the same processes or on the same dates, but all must guarantee traceability and control the origin of the products marketed within the EU.
You must be ready by December 2025, when the EUDR enters into force for your category.
From that moment on, you will need to demonstrate due diligence compliance and have systems in place to certify product origin and traceability.
You will have a six-month grace period, between January and June 2026, during which inspections will be conducted without penalties.
This time will allow you to adjust internal processes, review data, and correct potential deviations before formal inspections begin.
Your obligation to comply will begin on December 30, 2026, one year later than for medium and large companies.
This additional period will give you more time to prepare, adopting the necessary data collection and management mechanisms.
You will benefit from simplified procedures and less documentation, particularly if you operate in low-risk sectors or countries.
Even so, it will be crucial to have a solid information base that enables you to respond to customer or auditor requests.
If your company does not directly place products on the EU market, you will not need to issue new due diligence declarations.
In this case, responsibility will fall on operators introducing products for the first time.
However, it will remain essential to maintain traceability and origin records to justify compliance if requested.
Companies that keep their data organized will be in a much stronger position when dealing with clients and authorities.
If you export to European customers, you must comply with traceability requirements before December 2025.
Although the formal obligation lies with the European importer, your buyers will require complete and verifiable information to submit their own EUDR declarations.
This means you must collect and share verifiable data about the origin of raw materials, production plots, and logistical flows.
The sooner you have this information structured, the easier it will be to maintain business relationships with your European clients and avoid delays or trade disruptions.
Overall, these changes reinforce a clear message: measuring and structuring ESG information is now a competitive requirement.
Companies that know how to centralize their data and reuse it across different regulatory frameworks (CSRD, Taxonomy, ISO, EINF or SBTi) will not only comply with the EUDR, but also gain agility to adapt to any new EU regulation.
Complying with the EUDR is not only about adapting to a new regulation, but about building a reliable and traceable data foundation that can prove the origin of every product.
Preparing on time will make the difference between reacting to the regulation or turning it into a competitive advantage.
The first step is to identify the real origin of raw materials and evaluate the deforestation risks linked to each supplier or production area.
We need to clearly define which products fall under the EUDR scope and what information will be required to prove their origin.
The more precise this mapping is, the easier it will be to maintain traceability and avoid trade disruptions.
It is crucial to connect ESG and environmental information with automated digital tools.
This allows us to centralize production, transport and verification data, eliminating manual errors and ensuring consistency across departments.
Having a centralized system not only simplifies EUDR compliance, but also enables us to reuse the same information for other frameworks such as CSRD, the EU Taxonomy or ISO standards.
Compliance does not depend solely on our own company.
We must align the entire supply chain, ensuring that suppliers and partners understand the new requirements and are able to provide the necessary information.
This includes contractual agreements, data exchange protocols, and regular compliance reviews.
The more integrated all parties are, the lower the risk of non-compliance.
We must have complete supporting documentation, from geolocation of plots to export licenses and evidence proving that products do not come from deforested areas.
This information must be verifiable, up-to-date, and available at any time for inspection.
A well-documented system ensures transparency and credibility before customers and authorities.
Finally, it is essential to closely monitor the regulatory evolution.
Although the European Commission has proposed the current schedule and simplifications, final confirmation by the Parliament and the Council will be decisive.
Staying informed will help us adjust timing, requirements and processes smoothly.
In this context, the key lies in having structured and accessible data.
Measuring, connecting and automating ESG information is not just an EUDR obligation, but also a way to gain efficiency and competitiveness in a market where more and more companies are measuring and reporting their performance with precision.
To support these preparations, understanding and monitoring your company’s Carbon Footprint is fundamental.
This data connects directly with deforestation risk and overall sustainability performance, making it a crucial element of any EUDR compliance strategy.
Complying with the EUDR is not only a regulatory obligation.
It is also an opportunity to improve how we manage information, collaborate with suppliers, and strengthen market trust in our operations.
Adapting on time can become a real strategic advantage.
Getting ready in advance helps us avoid penalties, delays and trade disruptions.
Companies that structure their ESG data and anticipate compliance not only reduce operational risk, but also gain stability in the face of future audits or inspections.
Being ready before the enforcement date is an investment in control and peace of mind.
Complying with the EUDR requires collecting detailed information about traceability, geolocation and raw material origin.
Having this data well structured allows us to reuse it across other regulatory or certification frameworks, such as CSRD, the EU Taxonomy, SBTi, or ISO standards.
Instead of managing each requirement separately, we centralize information and reduce effort.
Digitizing traceability drives faster and more automated management.
With connected processes and integrated data, we eliminate duplication, reduce errors, and save time when preparing reports.
Moreover, having verified information improves communication between internal teams and with supply chain partners.
More and more companies are evaluating the ESG performance of their business partners.
Complying with the EUDR demonstrates management capability and transparency, two factors that directly influence the decision-making process of customers and investors.
Companies that measure and report their impact clearly become reliable and competitive partners in the European market.
Complying with the EUDR should not be seen as a burden, but as a way to strengthen business management.
By structuring our data properly, we gain a global view of the business, identify risks, improve processes, and enhance decision-making capacity.
At Dcycle, we understand it that way.
We are not auditors or consultants, but a technological solution designed to centralize all ESG data and adapt it to any use case.
We help companies turn sustainability into a strategic lever, transforming compliance into a real opportunity for growth and differentiation.
In addition, aligning the EUDR strategy with broader sustainable finance frameworks can help organizations enhance transparency and attract investors seeking verifiable sustainability performance.
The implementation of the EUDR will mark a turning point in how companies manage information about the origin and traceability of their products.
Preparing in advance will not only make compliance easier, but will also avoid operational stress and unnecessary costs once the regulation takes effect.
The main recommendation is clear: don’t wait until the end of 2025.
Starting the due diligence process now allows us to identify weaknesses, structure data, and establish protocols before official inspections begin.
Anticipation is key to prevent supply chain disruptions and guarantee continuity in operations.
In the context of the EUDR, no compliance is possible without auditable data.
Digitizing traceability means being able to connect data sources, automate validations, and store verifiable evidence instantly.
By centralizing ESG information in a single platform, we gain efficiency, consistency and reliability, three essential factors for compliance.
Complying with the EUDR does not depend solely on us.
It is essential to collaborate closely with suppliers and certifiers, ensuring that the entire supply chain is aligned with new requirements.
A continuous communication flow helps detect incidents early, correct mistakes, and strengthen transparency throughout the process.
Each raw material and region has a different risk level.
Analyzing these scenarios allows us to prioritize actions, adjust controls, and plan internal audits accordingly.
This evaluation should form part of the global compliance strategy, integrating EUDR criteria with other ESG reporting frameworks.
Experts agree that integrating ESG data into a single environment is the most effective way to reduce costs and errors.
At Dcycle, we are clear about this: we are not auditors or consultants, but a solution designed to centralize all ESG information and adapt it to any regulatory framework.
Our mission is to help companies transform compliance into a competitive advantage, linking sustainability with business strategy.
Preparing for the EUDR is not a one-time exercise, but the beginning of a new way of managing data.
Companies that adopt this integrated approach will be best positioned to face upcoming regulations and lead their markets with accurate and trustworthy information.
Complying with the EUDR involves managing a large volume of information coming from different areas, systems and suppliers.
In this context, having a platform that centralizes and automates ESG data becomes essential to guarantee accuracy, traceability and efficiency.
At Dcycle, we are not auditors or consultants.
We are a solution for companies designed to collect, structure and connect all ESG information automatically.
Our goal is to simplify regulatory compliance and turn data into a strategic tool for business management.
With Dcycle, you can unify all your ESG and traceability data in one single environment, avoiding duplications and errors.
From supplier information to origin records, we consolidate each element in a structured database that allows you to access the information you need in real time.
This unified view helps ensure that all departments work with the same verified data, facilitating coordination, decision-making and compliance documentation.
When information flows consistently, both efficiency and reliability increase across the organization.
Complying with the EUDR requires gathering data from multiple sources and producing reports compatible with the formats demanded by the regulation.
Our technology automates this process, connecting your internal systems and your supplier data to save time and reduce inconsistencies.
This automation eliminates manual data entry, reduces errors, and ensures that reports are always updated with the latest verified information.
As a result, your teams can focus on analysis and improvement, instead of administrative or repetitive tasks.
We make it easier to continuously monitor the supply chain, integrating data from different platforms and external sources.
This allows you to visualize compliance levels, identify risks, and anticipate potential issues without depending on manual processes or constant audits.
With Dcycle, your company can detect anomalies in origin data, control the quality of supplier inputs, and receive alerts when there are deviations or missing documentation.
Having a connected and automated ecosystem is the foundation for solid ESG traceability.
The effort you invest in complying with the EUDR can be reused across other regulations, such as CSRD, ISO standards, or the SBTi.
At Dcycle, we help you keep all that information organized and ready to adapt to any requirement, avoiding duplicated work and ensuring coherence in all reports.
Our platform enables cross-framework management, so the same dataset supports compliance in multiple contexts.
This approach enhances efficiency and guarantees that every data point adds value beyond a single regulation.
Our solution allows you to document and audit due diligence automatically.
We generate complete data traceability, maintain a history of evidence, and enable easy export of reports for authorities or clients.
This means that, at any time, you can demonstrate compliance with EUDR requirements using clear, verifiable data.
Audits become faster, more transparent and significantly less stressful for your teams.
With Dcycle, you can transform ESG management into a strategic advantage.
Using the same data foundation, you will be able to comply with the EUDR and any other regulation affecting your business.
Measuring and structuring information correctly not only allows you to comply, but also to make better decisions and compete more effectively in the European market.
Ultimately, Dcycle enables companies to move from reactive compliance to proactive sustainability management, where data becomes a true driver of innovation, credibility and growth.
The EUDR will come into effect on December 30, 2025 for medium and large companies operating in the European market.
From that date onward, they must apply due diligence procedures to demonstrate the traceable origin of covered products.
Additionally, there will be a six-month grace period, until June 2026, during which inspections will take place without sanctions.
For micro and small companies, enforcement will begin on December 30, 2026, giving them an extra year to adapt to technical and administrative requirements.
The first obligated entities will be medium and large companies that introduce products into the European market.
These companies must ensure full traceability and submit due diligence declarations through the EUDR IT system.
Intermediary or trading companies that do not directly place products on the market will not need to issue new declarations, but they must keep records that prove product origin and compliance.
The EUDR applies to operators dealing with wood, rubber, palm oil, soy, beef and coffee, as well as all derived products.
Its purpose is to ensure that none of these goods come from deforested areas.
This includes both importers within the European Union and suppliers outside the EU selling to European companies.
In both cases, having verifiable data on product origin will be mandatory.
Due diligence is based on collecting, analyzing and retaining data that enables each product to be traced back to its original source.
This includes geolocation data, production dates, volumes, and compliance documentation.
The EUDR IT system will store this information and allow authorities to verify it directly.
Companies must keep it updated and accessible for any review or conformity check.
At Dcycle, we are not auditors or consultants.
We are a technological solution for companies that need to centralize and automate ESG data management.
Our platform collects all the information required to comply with the EUDR, integrating supplier data, internal systems, and traceability documentation.
We can automate the generation of EUDR-compliant reports, connect your information with other frameworks such as CSRD, the EU Taxonomy, or ISO standards, and keep all documentation ready for inspections or audits.
By doing so, we help companies reduce operational workload, avoid errors, and turn compliance into a competitive edge, using the same ESG data foundation for any current or future regulation.
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Carbon footprint calculation analyzes all emissions generated throughout a product’s life cycle, including raw material extraction, production, transportation, usage, and disposal.
The most recognized methodologies are:
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Investing in carbon reduction is not just an environmental action, it’s a smart business strategy.
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