Brussels is preparing to delay flagship deforestation regulations to another year. This is a move that could boost the global soybean supply of UK feed manufacturers and boost costs.
The EU Deforestation Regulation (EUDR) requires importers of major goods such as soybeans, palm oil, coffee, cocoa, beef/beef, wood and rubber.
Originally intended to come into effect on December 30, 2024, it has already been postponed until the end of 2025. The European Commission is currently proposing another delay, which could push implementation back to December 2026.
The regulations do not apply in the UK, but are expected to apply in Northern Ireland under the Windsor Framework. Also, feed manufacturers across the UK could be affected as traditional soybean strengthening and cost competition rises.
In a letter to the President of the European Parliamentary Environment Committee, Antonio Decaro and Danish president, EC Environment Commissioner Jessica Rosswall warned that the IT platforms supporting compliance may not be able to process data volumes.
She voiced concerns about “authority uncertainty and operational difficulties for stakeholders,” and warned that the system could experience “unacceptable…slowing speed” or “repeated long-term disruption,” undermining the ability of businesses to follow.
Roswall said “additional time is needed to combat the risks of information load in IT systems,” confirming that the committee is “considering postponing entry into the application of the EUDR, which is projected for one year on December 30, 2025.”
The delay must continue to be approved by the European Parliament and the Council, but the move is widely expected to pass. Rosswall indicated that both agencies would be consulted before making a formal decision, suggesting that it could simplify some of the regulations.
German MEP Christine Schneider, the main negotiations for the file, welcomed the proposed suspension but warned about a deeper issue. “However, the updated postponement is clearly stated. The issue gets deeper and furthermore cannot be resolved with transitional or non-binding guidelines,” she said.
The UK Federation of Agriculture and Industry (AIC) described the delay as “a practical and necessary step to avoid confusion and ensure preparation for the EU supply chain.”
The EUDR does not directly bind the UK, but is expected to bind Northern Ireland, highlighting the UK’s relevance, noting that ripple effects can be felt throughout the supply chain.
The European Federation of Combined Feed Manufacturers (FEFAC) has also supported the postponement, saying that there is already a shortage of compliant soybeans and will attract cost premiums.
The EU is currently seeing demand in the region for 30 million tonnes of soybean meals, putting pressure on already held supply.
The AIC said it will work with members and supply chain partners to assess how delays will affect responsibly supply soybeans until 2026.
However, with global demand rising, compliance costs being built and baseline supply becoming more tight, industry leaders warn that feed costs in the UK could rise well before the final rollout of regulations.
