Coffee Companies Face Challenges in Complying with EU Law Against Deforestation

Coffee companies are facing challenges in complying with a new European Union law aimed at preventing deforestation. The law, set to take effect by the end of 2024, prohibits the import of goods linked to deforestation and requires importers to prove their goods do not contribute to forest destruction or face heavy penalties.

Critics argue that the law could exclude small farmers from accessing the EU market, as they may not have the resources to provide geolocation coordinates proving their farms are not on deforested land. JDE Peet’s, a major coffee company, is working to comply with the law by partnering with coffee-producing countries to map and monitor their regions through satellite imagery and on-the-ground verification. However, more agreements need to be signed with countries like Indonesia and Brazil before imports can continue next year.

Many EU member countries have called for a revision or temporary suspension of the law due to difficulties in meeting the requirements within the tight deadline. Despite efforts by companies like JDE Peet’s, ongoing challenges remain in complying with the EU law against deforestation in the coffee industry. The European Commission has expressed willingness to engage in discussions with industry stakeholders to address concerns and provide clarity on the law’s implementation.