Have you ever thought about how the consumption of some of our favourite products can be linked to deforestation? Or how political decisions and policies can influence such linkages? The EU consumes significant amounts of products made from agricultural commodities, such as cocoa, palm oil, and soy, and the related agricultural expansion of these commodities causes vast forest loss in countries of production in Africa, Latin America, and Southeast Asia. Various trading companies operate supply chains across the globe and move the products to Europe for our consumption, making them important actors in controlling forest loss linked to agricultural products. In the coming years, new EU regulations will set increased obligations for traders in order to reduce EU market-driven forest loss. However, it is not sure how traders will react to the new regulations and how their decisions could influence the impact of the EU regulation to limit EU market-driven deforestation.
New policy brief: How agricultural commodity trader responses can influence the effectiveness of the new EU deforestation proposal