NGFA urges administration for help with EU’s pending Deforestation Regulation

In a letter to the U.S. Trade Representative (USTR) and U.S. Department of Agriculture (USDA), NGFA is seeking clarity on the European Union’s Deforestation Regulation (EUDR), which will take effect Jan. 1, 2025.

The regulation will affect U.S. grain and oilseed exporters by requiring additional traceability of commodities to ensure they were not produced on deforested land after Dec. 31, 2020. The NGFA emphasizes the logistical, financial, and operational challenges this presents, especially for soybean producers and exporters.

Key concerns include the cost and complexity of gathering geocoordinate and satellite data, ensuring data confidentiality, and determining responsibility for penalties if information is inaccurate. The NGFA calls on the U.S. government to advocate for U.S. products to be classified as “low-risk” for deforestation, focus enforcement on illegal deforestation, and provide more precise guidelines and support for compliance.

The letter urged the administration to continue “outreach to both the EU and industry to resolve these identified barriers to preserve and build upon the core benefits that have helped the U.S. food and agricultural sector increase U.S. exports, support U.S. economic growth and job creation, and contribute positively to the U.S. balance of trade.”