European Commission Announces Simplification Measures to the European Union Deforestation Regulation (EUDR)
For countries like Malaysia, more is at stake in how the EU sets its thresholds for achieving ‘low- or standard-risk’ status under this system.
On 15 April 2025, the European Commission (EC) released a new set of simplification measures to the EUDR aimed at significantly streamlining the due diligence process for both European importers and third-country producers of affected commodities. These changes to the EUDR’s published Guidance and FAQ documents are meant to reduce the administrative burden and compliance costs throughout the supply chain. It is a step in the right direction, but still a long way short of the EC’s target of a 30% cost reduction for companies subject to EUDR, particularly those in the palm oil industry.
One of the key changes is a significant reduction in the number of Due Diligence Statements (DDSs) required under EUDR. Rather than submitting a form for every shipment to the European market, importers will be able to submit a single DDS on an annual basis. While this option technically existed under the previous FAQs, the adjusted wording gives assurance that a single annual DDS covering multiple batches will be permissible. Additionally, DDSs can now be passported across the supply chain, meaning downstream companies placing imported products on the European market can meet their compliance obligations by simply including the reference and verification numbers of DDSs previously submitted by their upstream business partners. No further data collection or risk assessment will be needed.
The EC aims to achieve a 30% reduction in costs for companies subjected to EUDR, especially in the palm oil industry.
By Dr Nina Naquiah Ahmad Nizar, Assoc. Prof. Dr Eddie Tan Ti Tjih and Nur Alia Aqilah Mohd Rizal | Authors’ affiliation: Food Technology Department, Faculty of Applied Sciences, Universiti Teknologi MARA, Kuala Pilah Campus, Kuala Pilah, Negeri Sembilan, Malaysia
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