Jakarta,
Indonesia,
April
10,
2025
–(PR.com)– Agriculture
remains
a
key
driver
of
deforestation,
with
10%
of
global
forest
cover
lost
in
the
past
30
years
(European
Commission,
2023),
prompting
regulatory
measures
like
the
EU
Deforestation
Regulation
(EUDR)
to
enforce
sustainable
supply
chains.
The
regulation
requires
companies
to
ensure
deforestation-free
sourcing,
verify
supplier
compliance,
and
implement
traceability
systems.
Initially
set
for
enforcement
on
30
December
2024,
the
deadline
has
been
postponed
by
12
months
due
to
the
complexity
of
supply
chain
mapping
and
public
scrutiny.
As
finalized
by
the
EU
Council
and
Commission,
medium
and
large
companies
must
comply
by
30
December
2025,
while
small
and
micro
enterprises
have
until
30
June
2026.
Additionally,
by
30
June
2025,
the
EU
Commission
will
classify
countries
based
on
deforestation
risk,
with
specific
provisions
for
timber
products
(Tax
News,
2025).
According
to
Luca
Fischer,
Senior
Head
of
Markets
Indonesia
at
Koltiva,
the
delay
in
EUDR
implementation
has
created
both
challenges
and
opportunities
for
businesses.
“Many
companies
had
already
invested
millions
in
preparing
their
supply
chains,
seeing
compliance
as
a
competitive
advantage.
A
delay
in
policy
creates
uncertainty,
which
is
never
good.
It
makes
companies
question
whether
regulations
will
actually
be
enforced.
However,
the
European
Commission
made
it
clear
that
they
are
only
delaying
the
regulation
by
one
year,
not
watering
it
down.
This
provides
an
opportunity.
At
the
end
of
last
year,
many
companies
weren’t
fully
prepared,
and
the
EU’s
information
system
still
had
technical
issues.
The
extra
time
allows
businesses
to
reduce
their
risk
of
non-compliance
and
ensure
a
smoother
transition.”
Fischer
explained
that
companies
must
invest
in
accurate
tracking
technologies
and
gain
a
deep
understanding
of
their
supply
chains.
Fischer
emphasizes
that
companies
wishing
to
remain
competitive
in
the
European
market
must
take
concrete
steps
to
implement
stricter
monitoring
and
risk
mitigation
systems.
Achieving
compliance
is
not
just
an
administrative
challenge
but
a
journey
that
requires
businesses
to
invest
in
accurate
tracking
technologies
and
gain
a
deep
understanding
of
their
supply
chains.
Koltiva,
a
technology-driven
company
specializing
in
traceability
and
sustainability,
has
developed
solutions
to
assist
businesses
in
complying
with
EUDR.
By
combining
data-driven
technology
with
on-the-ground
engagement,
Koltiva
enables
businesses
to
meticulously
map
their
supply
chains
and
ensure
that
raw
materials
are
not
sourced
from
deforested
areas.
One
of
Koltiva’s
key
tools
is
KoltiTrace,
a
platform
that
allows
real-time
monitoring
of
supply
chains
from
upstream
to
downstream.
Fischer
explains
that
this
system
enables
businesses
to
conduct
risk
assessments,
identify
vulnerabilities
within
their
supply
chains,
and
develop
more
effective
mitigation
strategies.
“This
technology
not
only
helps
businesses
comply
with
regulations
but
also
adds
value
by
increasing
transparency
and
trust
between
suppliers,
producers,
and
consumers,”
he
states.
Fischer
explains
that
the
challenges
of
compliance
differ
for
upstream
and
downstream
players.
“Upstream
players
need
to
directly
map
their
supply
chains,
while
downstream
players
must
refine
their
due
diligence
processes,
including
the
evaluation
of
each
supplier’s
risk
assessment.
Last
year,
many
downstream
companies
rushed
to
meet
requirements,
which
allowed
a
lot
of
products
to
qualify
as
EUDR
compliant.
However,
now
downstream
players
have
time
to
optimize
their
processes.
They
must
figure
out
how
to
automate
data
collection,
ensure
compliance
effectively,
and
build
a
reliable
due
diligence
system.”
Beyond
digital
solutions,
on-site
verification
is
also
crucial
in
ensuring
EUDR
compliance.
Koltiva
deploys
a
team
of
agronomists
who
work
directly
with
farmers
and
suppliers
to
ensure
that
sustainability
standards
are
truly
implemented.
Fischer
stresses
that
without
this
approach,
companies
may
end
up
with
paperwork
compliance
without
genuine
verification
at
the
field
level.
“We
believe
that
sustainability
must
be
holistic,
not
just
an
administrative
requirement.
That’s
why
we
combine
technology
with
direct
on-the-ground
interventions
to
ensure
that
every
part
of
the
supply
chain
genuinely
meets
sustainability
standards,”
he
adds.
Furthermore,
Fischer
highlights
that
compliance
with
EUDR
is
not
just
about
avoiding
sanctions
—
it
is
also
about
maintaining
market
access
and
building
a
corporate
reputation
as
an
environmentally
responsible
business.
With
growing
consumer
awareness
of
deforestation
and
sustainability
issues,
companies
that
proactively
adopt
sustainability
standards
will
have
a
stronger
competitive
edge.
“Going
forward,
transparency
and
traceability
will
be
key
factors
in
determining
business
sustainability
in
the
agricultural
and
forestry
industries,”
he
says.
While
many
companies
still
feel
overwhelmed
by
this
regulation,
Fischer
is
optimistic
that,
with
the
right
technology
and
strategy,
EUDR
compliance
can
be
achieved
without
disrupting
business
operations.
“This
challenge
can
be
turned
into
an
opportunity
if
we
see
it
as
a
chance
to
build
more
efficient,
transparent,
and
sustainable
supply
chains,”
he
concludes.
For
businesses
preparing
to
meet
EUDR
requirements,
solutions
like
those
offered
by
Koltiva
are
essential
in
managing
risks
while
ensuring
long-term
sustainability
in
the
global
market.
Watch
the
discussion
featuring
Luca
Fischer
in
recent
BeyondTraceability
Talks,
hosted
by
Koltiva,
at
https://www.koltiva.com/beyond-traceability-talks-vol2.